Effective immediately, arvato Print Management is responsible for RDA's purchasing and production management in a total of 35 countries in North America, Europe and Asia. For RDA in Latin America, arvato Print Management will be responsible for purchasing the Asian manufacturing spend. The five-year agreement covers a purchasing volume of an estimated $400 million (U.S.) over the term of the contract.
Under the new service agreement, arvato Print Management will handle the global sourcing of books, CDs and DVDs for RDA. Some of these products will continue to be manufactured by production companies in the arvato group; the remainder will be purchased from co-operation partners from all over the world.
"We are delighted that Reader's Digest Association has entrusted us with the important task of coordinating its worldwide procurement management for books, CDs and DVDs, and by doing so strengthening our long lasting and successful partnership," said Markus Schmedtmann, a member of the arvato AG Board.
He added that the agreement with Reader's Digest Association is decisive for arvato's printing division in two ways: "On the one hand, the partnership is an important milestone when purposefully developing the service portfolio in the printing business, and on the other hand it marks the company's strategically important entry into a dynamically growing market."
"Reader's Digest Association is pleased to have forged a relationship with arvato to be an integral partner in our global supply chain. This agreement will complement our strategic procurement vision as we go forward creating efficiency and value to our company," said Albert L. Perruzza, SVP, Global Operations, Information Technology and Business Redesign for Reader's Digest Association.
Want to see what 24 hours of creative awesomeness look like? Click here.
This news message is supported by The Creative Finder, an online platform for photographers, illustrators, designers, and art directors to promote their portfolios towards new clients and collaborators. Creatives who wish to sign up for an account can save 10% off annual fees with promo code 'designtaxi'.
