Our client is a PE-owned safety solutions provider with best-of-breed smart solutions into integrated safety platform for fleets of every type including school bus, transit, fire, EMS, law enforcement, work truck, truck & trailer, waste & recycling, industrial and military.
Having grown through acquisitions over a number of years, the organization had maintained an operating model which allowed business units to function independently. They now needed to develop and implement a common set of processes to increase the effectiveness of logistics and procurement, enable significant cost benefits and allow the business to absorb future acquisitions rapidly and effectively.
The PE firm invited Maine Pointe to conduct a Total Value Optimization (TVO)™ analysis to help them realize this goal.
Following our analysis, leadership asked Maine Pointe to focus on a procurement and logistics within a specific category of its electronics division. They asked us to bid products in the market place and get a recommended solution, an exercise they did not have the manpower or experience to execute themselves.
To begin with, the engagement focused on sorting and aggregating data to give the company the visibility it required to find and drive savings. This gave them the ability to test the market in a way they had not previously attempted. Once this stage was completed, we deployed Maine Pointe’s six-step strategic sourcing process to create aggressive sourcing strategies and charters to leverage the entire spend for electronics, logistics, and maintenance repair & operations. Specifically, Maine Pointe:
The business has now identified new suppliers for 100% of electronics and 90% of LTL freight providers. The client is well-positioned to evolve with its market and, with the advantage of a component approval process and improved communication and reporting from carriers, to ensure high quality and delivery standards.
Maine Pointe worked closely with the client’s team in the US, and suppliers in low-cost locations to deliver the following measurable results: