From Site-Driven Procurement to Enterprise Strategic Sourcing: Delivering $11.3M in Annualized Value for a PE-Backed A&D Component Manufacturer

From Site-Driven Procurement to Enterprise Strategic Sourcing: Delivering $11.3M in Annualized Value for a PE-Backed A&D Component Manufacturer

Driving category excellence, supplier conditioning, Procurement Management Operating System, and capability building to transform procurement into a strategic, enterprise-aligned organization

This story is for CEOs and PE firms who

• Are managing acquisition-driven or carve-out organizations with fragmented procurement
• Have recently installed new executive leadership teams and must stabilize multiple independent sites
• Need rapid cost improvement alongside sustainable operating discipline
• Lack a clean, unified view of enterprise spend across multiple entities and locations
• Require strong governance and capability building to support value creation

The Challenge

A PE-backed Aerospace & Defense component manufacturer had been acquired and restructured multiple times prior to the engagement. In the six to twelve months before Maine Pointe was brought in, the Private Equity sponsor replaced the entire executive management team, including the CEO, CFO, COO, and supply chain leadership.

The newly installed leadership team inherited a highly fragmented procurement environment shaped 
by years of acquisition-led growth. Spend was disaggregated across entities and locations, sourcing practices were largely site-driven, and supplier management was transactional and inconsistent.

Procurement lacked a clean, unified view of enterprise spend, standardized strategic sourcing and supplier management processes, and effective performance governance. With a new leadership team in place, procurement was identified as a time-sensitive value creation opportunity requiring both rapid impact and the establishment of sustainable operating discipline.

Maine Pointe:

• Consolidated and cleansed CY2024 procurement spend cube with standardized category hierarchy
• Improved category management and contract strategies supported by analytics
• Strategic sourcing approaches implemented for each category in scope
• Supplier conditioning events and structured communication via supplier forum increased leverage with incumbent suppliers leading to greater savings
• Standardized strategic sourcing processes customized to the organization’s supplier and customer base
• Documented procurement processes and procedures to support consistent execution
• Installation of a tailored savings recognition process to reinforce desired behaviors
• Development and deployment of a formal Supplier Relationship Management (SRM) process
• Definition of procurement performance metrics for continuous measurement
• Ongoing coaching and mentoring to ensure sustainability

• $11.3M in annualized value delivered during an eight-month engagement
• Delivered savings at the mid-range of target despite reduced addressable spend from program attrition
• Consolidated and cleansed CY2024 enterprise procurement spend cube with an agreed category hierarchy
• Procurement Management Operating System (PMOS) installed across multiple sites to support governance, reporting, and execution discipline
• Standardized strategic sourcing approaches implemented across categories in scope
• Formal Supplier Relationship Management (SRM) framework developed and deployed
• Improved category strategies and contract effectiveness using detailed analytics
• Procurement performance metrics defined to enable continuous measurement
• Clear organizational structure, roles, and responsibilities established
• Procurement capability uplift delivered through ongoing coaching, mentoring, and training