Driving excellence through Procurement Business Process Transformation and Process Optimization
Regional District Cooling Provider with annual spend of 90 Million Dirhams generates 12-15% annual savings, with 10% Incremental savings opportunity, through Procurement Transformation program by re-designing core Procurement business and policies and optimizing internal supply chain processes to achieve sustainable improvements in performance and reduction in process cycle-times
Background Scope
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The Supply chain Management (SCM) department was having abundant loads of emergency requests from operations team as well other business units due to continuously growing demand and fast expanding business
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Multiple end-user departments involved in carrying out the procurement separately
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End-user departments involved in procurement would neither follow SCM process for bidding & award for engaging suppliers nor would adhere to the approved KPIs, would finalize supplier without involving SCM
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The nature of business required supply chain processes to help centralize the procurement, to support its diverse operations requirements
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The company identified a need to develop robust procurement policies and processes to support its operations, source more strategically and efficiently and optimize the available resources
We carried out the following activities :
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Conducted a thorough assessment of client’s existing procurement practices, supply chain capabilities and its operational needs
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Conceptualized and developed new Supply Chain Corporate Manual tailored to meet the business requirements
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Optimized the Procurement and supply chain policies, processes, and procedures, for alignment with corporate objectives and strategy
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Incorporated cross-functional requirements in supply chain practices across organization’s multiple cost centers and business units
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Developed and standardized suite of procurement templates and KPIs to ensure responsibilities for all stakeholders for carrying out procurement activities in a cost and time effective manner
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Imparted training to the supply chain team and end-user champions