Strategic Sourcing Success: How Our Approach Delivered Over $2M in Savings for a Global Pharmaceutical Company
In the wake of the COVID-19 pandemic, supply chain stability became a critical concern for many organizations. A leading global pharmaceutical company, serving clients across North America and Europe, faced the challenge of mitigating these risks while also seeking cost savings and aligning procurement processes across multiple manufacturing sites.
The Challenge:
The client needed to address heightened supply chain risks, implement significant cost savings, and streamline procurement across facilities in the U.S., Canada, and Europe. With the complexities of operating in multiple regions, this was no small task.
Our Approach:
Our approach followed a comprehensive strategic sourcing engagement designed to tackle these challenges head-on. We implemented:
Spend Cube Creation: A detailed spend analysis to identify areas of potential savings and inefficiencies.
Make vs. Buy Assessments: An evaluation of existing procurement strategies to determine the most cost-effective options for the client.
RFx Bids: Management of the end-to-end process of Request for Proposals (RFPs), ensuring competitive bids that aligned with the client’s objectives.
MSA/SLA Finalization: Negotiation and finalization of Master Service Agreements (MSAs) and Service Level Agreements (SLAs) with key suppliers to ensure consistent and reliable service.
The Results:
Our strategic sourcing efforts delivered impressive results:
Over $2M in cost savings across procurement operations.
Strengthened supplier relationships, providing greater stability and reliability.
Reduced supply chain risks, ensuring a more resilient operation.
Streamlined procurement processes across multiple manufacturing sites, enhancing efficiency and alignment.
This case study exemplifies how our targeted approach in strategic sourcing can drive significant value for organizations, especially in complex and uncertain environments.
