The direct line to METRO Group – MGB METRO Group Buying International GmbH is in close contact with the company’s suppliers. The cross company is in charge of buying for all METRO Group sales divisions. Buying: A success factor
Buying is one of the core competencies of a retail company. Buyers negotiate with a number of different suppliers to secure the lowest possible prices and best terms. Buyers are also responsible for ensuring perfect quality. Their work contributes significantly to the success of the company, because intelligent buying creates major competitive advantages in retailing.
MGBI – a strong partner
MGB METRO Group Buying International GmbH is the central procurement organization within METRO Group. The cross company is responsible for buying food and non-food goods for all METRO Group sales divisions – in Germany and worldwide. MGBI is a strong and reliable partner for suppliers because it is dedicated to long-term relationships, as well as ensuring planning and investment security.
Operating around the globe – New orientation of MGBI
With further developed strategy and a new regional structure, MGBI is leveraging additional group-wide synergies and better adapting to the needs of the METRO Group sales divisions.
- The MGBI company headquarters are in Düsseldorf.
- MGBI is a 100 percent subsidiary of METRO Group.
- MGB was founded in 1993 as the group’s central procurement organization. After reorganizing MGB, MGBI was established in 2006.
MGBI – an overview
- MGBI sees itself as a service provider for all METRO Group sales divisions.
- MGBI creates synergies by providing cross sales division services and pooling buying volumes.
Philosophy
- MGBI contributes to expanding METRO Group’s leading position in international competition.
- MGBI considers the missions, strategies and marketing concepts of all sales divisions.
- MGBI optimizes the earnings of sales divisions developing new strategic approaches to procurement while continually adapting its strategy to changing conditions and structures.
- MGBI increases METRO Group’s efficiency by tapping all procurement potentials, optimizing the coordination process with the sales divisions and ensuring transparency of costs and earnings.
Objectives
Procurement task
MGBI pools and manages buying volumes across METRO Group the sales divisions. It sustainably improves national and international buying terms for the group.
Negotiation mandate
MGBI negotiates all buying terms with its suppliers. It handles samples, decides which items are to be carried and implements advertising and sales promotion activities. In addition it is responsible for maintaining supplier and article data.
Pooling Applications
Close cooperation between retailers and manufacturers leads to more efficient processes in the longer term. This is to the benefit of both parties. METRO Group has developed a number of innovative software applications to intensify cooperation with its suppliers. These are to promote closer ties to partners from the consumer goods industry and optimize shared processes. Examples of this approach are data warehouse applications and the master data update tool MMS CAT. Metro Link pools these and many other applications to create one source. Users have a single sign-on and can then access all programs which they are authorized to use.
