This story is for CEOs who
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Are at odds with their legacy suppliers
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Suffering shipping logistics issues
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Need to standardize and upskill procurement post-integration
The Challenges
A global manufacturer and developer of performance polymers faced both capacity and capability gaps in its procurement organization. Newly acquired by a PE firm, the company found its procurement team in turmoil as staff were replaced and added; a second acquisition a few months later increased the pressure.
Saving costs, delivering value, and upskilling procurement in a chaotic environment
Maine Pointe:
- Diversified suppliers to reduce supply chain and logistics risks
- Used enhanced supplier Relationship Management to unlock supply constraints and increase near shoring
- Enhanced procurement processes to ensure value creation goals were met
- Provided an inflationary playbook for future supply chain optionality
Lessons learned for other executives
- Post-acquisition integration requires cross-functional adjustments
- Cost savings are available in every market
- Strategies for de-risking the supply chain have long-term value
The Results
- 6% reduction in supply chain costs
- 50% value creation through supplier optionality
- Increased procurement capability, strategy, and leadership
- Overcame shortages using strategic procurement
- Made logistics more efficient through in-shoring and on-shoring
- Improved supplier relationships
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Spurring value creation and cost reduction post -integration, in an inflationary environment (CS263)
