This manufacturer of environmentally safe specialty chemicals and solutions specializes in the areas of metal finishing and paint pretreatment, water and wastewater treatment, maintenance and equipment cleaning and transportation cleaning. The client was executing an acquisition-based growth strategy which had already seen a 195% revenue increase through nine strategic acquisitions.
Heavily siloed and inefficient supply chain processes meant leadership lacked visibility into spend. From a logistics perspective, the company was operating a private fleet which was running shuttles to an outside warehouse and delivering to customers in a 350-mile radius from the plant. No cost management or utilization reviews were being carried out and the company did not have an operating matrix. Moreover, there were no KPIs in place and the client had never evaluated its fleet costs relative to operational needs.
From a maturity perspective, our industry and subject matter experts assessed logistics as level 1.1 on the 5-level TVO Pyramid™.
As part of our engagement, Maine Pointe also supplied an interim Chief Procurement Officer to assist with the process.