Merck Darmstadt to cut site maintenance services costs on new IT

Pharmaceutical and chemicals giant Merck in Darmstadt, Germany has completed implementation of a system that’s expected to cut costs and improve the efficiency of its automated and outsourced site maintenance. The system was developed by BASF IT Services, which also provided the interfaces for data exchange with Merck’ SAP ERP system. It’s due to go online this summer. To maintain its sites in Darmstadt and Gernsheim, Merck has 36 contracts with companies working in the building, industrial construction, electrical, instrumentation and control engineering, heating, air conditioning and sanitation sectors. “In order to streamline our service provider processes with the contractors, we searched for an experienced partner, which we have found in BASF IT Services,” says project manager Falk Schröder, from Merck KGaA. So instead of continuing with individual assignments, Merck wants to work with these using blanket service provider processes. Merck intends to set up general agreements based on standard services, with budget costs agreed against annual expected volume of business, but with services callable on demand. The result will not only be lower costs and effort but, says the company, more responsive, electronically-called services and safer operations due to better clarity with formal processes and standard operating procedures, requirements and the rest. Merck will also build a database so that activities and variances can be analysed and supplier performance monitored. The firm makes the point that suppliers too will be able to profit from the data, using it. if they wish, to calculate appropriate offers.