Rio Tinto is deploying a hosted system from supplier Spendvision to improve views of its staff expense processing.
The mining giant plans to use the system to help compliance with regulations. The company, reportedly lining up a bid for Potash Corporation that would go up against a $39 billion hostile bid from BHP Billiton, according to Canada's Globe & Mail newspaper, has also been working for two years to automate more processes in its mines.
The Spendvision system will be rolled out to 10 business units in Europe, the Middle East, Africa, Asia-Pacific, the US and Canada over the next 12 months. It will track and manage corporate expenses, from cash and card transactions to online travel booking and phone usage, for 20,000 staff who will be able to record data on the system.
Rio Tinto expects to simplify expense processing, enhance reporting, cut costs and improve compliance by introducing the new system. It chose a hosted system so that it could pay according to usage and cut development and maintenance costs.
Scott Singer, head of procurement at Rio Tinto, said the company needed a centralised system to replace a range of legacy software. “Disparate systems, labour intensive processes and limited visibility of consolidated spend were having an impact at the local and global levels.”
Using the system, he said, the company “will now be able to analyse global data to identify ways to optimise spend and reduce costs”.
Picture (C)2010 Rio Tinto