How Diebold Nixdorf has transformed its supply chain is explained by Frank T. Baur, Executive Vice President, Operational Excellence, at Diebold Nixdorf, in an interview in the LOGISTIK HEUTE 10/2025 issue. After the globally active provider of hardware, software and service solutions for banks and retail was affected by delivery delays due to the COVID-19 pandemic, the company began revising its supply chain strategy.
“We wanted a supply chain that is resilient, industry-leading, and end-to-end in design,” said Baur.
The company
aimed to measure its success by the margins in the product-service business as well as with regard to working capital.
“As part of our new supply-chain strategy, procurement has developed a North Star for itself,” explained the Executive Vice President, Operational Excellence. “There were three success factors: First, revenue growth had to be secured, while we wanted to increase agility and resilience. Second, we aimed to increase the margin, because a large share of our products incurs high costs—not only labor
costs from assembly.”
Thirdly, Diebold Nixdorf has focused on selecting the right suppliers under the motto 'Local for Local'. That means that the supplier is located in the right place. “This allowed us to significantly reduce the share of products we source from China,” said Baur.
Diebold Nixdorf aimed to produce regionally for the region and close to customers to guarantee short delivery times for the market and low lead times. As a result, the provider shifted production capacity from Germany
to the USA and to Latin America. In addition, the company focused on the growth market of India.
To reduce risk in the supply chain and increase resilience, Diebold Nixdorf implemented Oracle's Cloud-Based Supply Chain Planning Suite. “As a result, we were able to reduce the effort and the delivery plans — our source of truth — were significantly improved,” said Baur. The full interview titled "We manage our supply chain with a platform" can be read in the current LOGISTIK
