ENTERPRISE PROCUREMENT FRAMEWORK

“Coach and Facilitate the Development of Procurement Capabilities across the Organisation”


Development of an Enterprise Procurement Framework


CLIENT CHALLENGE

BvW Global’s brief was to coach and facilitate the development of Procurement Capabilities across the organisation whilst identifying $3.5 million in savings. A large component of the work dealt with both Change Management / Communication and Risk Management.

APPROACH

The organisation had no deep procurement expertise and/or tools and methodologies to assist in capturing all savings available with its supplier base. The overall review included data extraction and analysis, data cleansing, skills audit, development of tools and methodologies including policy documents, and personal assistance to all ‘procuring’ managers within the business.

BENEFITS

Our team exceeded our savings target and identified $9.8 million in bottom line improvement. We introduced a dedicated Procurement Officer who is now in charge of delivering against the recommendations.

This project included the development of UML ‘Unified Modeling Language’ (as-is and to-be) process mapping including costing analysis with Activity Based Costing methodologies.

INSIGHT

In order to sustain the changes, BvW Global also developed the procurement governance model using Enterprise Reference Architecture principles which reviewed and recommended changes to approval mechanisms, business rules, segregation of duties, roles & responsibilities, and organisational structure. This project was designed to improve the annual procurement of $1.5 billion.