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Wallem Shipmanagement expects to see a fivefold rise in marine-supplier customers after moving to an electronic commerce platform.

 Director Barry Buchanan said the company conducts business over the Internet with more than 200 suppliers in 24 countries.

 Wallem adopted the Hong Kong-based Arena business-to-business e-commerce service on its 100-plus vessels to streamline its ship supply chain management operations.

 'We plan to offer our procurement services to other smaller ship management companies as we can get volume discounts as a large purchaser,' Mr Buchanan said.

 The procurement system, used by 95 per cent of Wallem vessels, enables the firm to respond to electronic requests for quotations, purchase orders and shipping instructions, he said.

 Wallem's general manager for procurement, Mark Haslett, said Arena had enabled the company to reduce procurement costs by at least 20 per cent.

 Wallem's goal was to take as much of the paper and inefficiencies out of the process as possible, while helping to create a more dynamic marketplace for marine supplies.

 Wallem is the first customer to adopt Arena's electronic supply chain management model.

 Arena chief executive Ian Craig said that by using the Internet to support Wallem's purchasing requirements, the company was shedding a considerable communication and administrative burden, while at the same time helping to build an open electronic market for marine supplies.



Wallem predicts order surge from Internet-based trade