| Sony to Halve Its Supply Base |
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| Written by Mike Buetow | |||
| Thursday, 21 May 2009 09:08 | |||
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TOYKO -- Sony Corp. will cut the number of suppliers it uses to 1,200 from 2,500 within the next year as the company tries to reverse its first net loss in 14 years. The company, one of the world's largest consumer electronics OEMs, plans to cut purchasing costs by about 20% -- roughly $5.3 billion -- in fiscal 2010, a company spokeswoman said today.The firm's suppliers were told of the impending change this week, although it is unclear whether they have been informed of their future status with the company. The firm also said it would centralize its procurement operations, with the goal of getting better pricing and other terms. Traditionally, Sony has left it to its operating units to develop approved supplier lists and contract terms.
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| Last Updated on Thursday, 21 May 2009 09:17 |
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