Top management in a global packaging manufacturer had set the goal of improving bottom line results over a 3-year period but met a variety of challenges already in the first year. Faced with these challenges, the company chose to contact Prokura.
To help the company achieve its goal, Prokura led a project in two phases which stretched over 14 weeks in total:
- Phase 1: fact-based review of the company’s total purchases and identification of categories with large savings potential
- Phase 2: a series of projects to optimize the identified categories
The project resulted in a reduction of the supplier base and a consolidation of the total purchasing volume to better align procurement with the requirements of the supply chain.
The TCO-based approach also meant that the procurement structure was changed, a number of measurable KPIs for the future were established, and that the company realized savings of between 30-40% of the optimized purchasing categories.
To find out more about this case and other industry solutions for packaging manufacturers, please contact Christian Bang-Pedersen.