We recently partnered with a large global public services company. With over 50,000 employees and 500 contracts to manage globally, they have an extremely intricate supply chain. We helped them effectively minimize the risk of ad-hoc supplier spending and deepen and expand supplier partnerships, ensuring a robust and cost-effective supply chain. This enabled the organization to continue to deliver vital public services worldwide.
- Outcome 1: Delivered £1 million annualised improvement on unnecessary spend that could be reinvested
- Outcome 2: Enhanced the contracting process for suppliers to meet the company’s values of innovation, trust, care and pride
- Outcome 3: Standardized all payment terms, introducing eInvoicing
- Outcome 4: Implemented a third-party technology solution to manage suppliers and partnerships globally, including business engagement and training for key people
- Outcome 5: Provided support to urgent, high value (over 500k pa) projects
The challenge
This global public services company provides services across defense, justice and immigration, health, transport and citizen services – areas that are fundamental to the successful operation of society. To ensure that these services run smoothly, it is vital that their supply chain is robust across all geographies. And, in a post-pandemic world, supply chain visibility has never been more vital, as companies across all industries grapple with managing their supply chains.
Our procurement and transformation experts worked alongside their in-house procurement team, collaboratively helping them foster new partnerships, reduce risk and outline short and long-term savings. At that time, the internal team accounted for a large portion of their total spend and therefore required insight from procurement specialists to learn about new models to reduce this risk.
The approach
Our team focused on three key areas to deliver the work: assessing and understanding the organization and governance, carrying out a comprehensive review of data to pinpoint those suppliers who weren’t contracted and highlighting areas where spend could be addressed. They took a “white label” approach, working collaboratively with the internal procurement team and engaging key business stakeholders to ensure we delivered solutions that solved their challenges.
The value delivered
What initially began as a 4-month project was extended to a second phase due to the value of the work delivered. In total, we worked with 153 suppliers to identify new partnerships to improve current supplier contracting, and outline areas where spend could be reinvested – in total delivering £1 million of annualised improvement. We’ve continued to work with the business due to the project’s success, supporting company-wide projects from procurement transformation to new technology implementation.
Thank you for your help. These are great results and something we would like to see maintained.