Context
In order to improve efficiency and generate significant savings, the Group wants an audit of its procurement and supply functions.
Objectives
The mission objectives as defined by the Head Office are:
- Identify processes and procedures to improve efficiency in purchasing and supplying activities
- Identify leverages and model savings on key spending segments
- Define new governance systems, directing and evaluating indicators on purchasing and supplying performance
- Formalize an updated and directing schema on the impacts on the organization in order to implement a procurement and supply information system to handle tenders, relationships with the suppliers, contracts and pilotage of the savings.
Resources
In order to complete the mission, CKS consultants have conducted the following actions:
- Diagnosis realization
- Mapping of procurement and supply organization
- Analysis of organization charts, job descriptions and interactions between the departments.
- Mapping of the spending
- Mapping of processes and procedures
- Gathering and analyzing the needs of procurement processes player
- Recommendations preparation
- Evaluation of several different scenarios? on the new procurement organization
- Identification of savings and associated leverages
- Modeling the targeted processes and procedures
- Formalize a procurement politic
- Implementation of a 3-year action plan
- Support in the action plan deployment
- Operational assistance
- Identification of risks, impacts and resistance to change
- Project pilotage, progress monitoring
- Synthesizing and reviewing the generated savings
Results
At the end of the mission, a 5% savings gain in each procurement category have been obtained. The main actions which have been set up are the following:
- A unique updated and shared suppliers’ repository
- A global common and functional database of the articles
- A library of contracts associated to the new process of redacting the new contracts collaboratively
- A formalized procurement strategy for each category
