Reorganization of purchasing in the packaging industry
Development of the central purchasing department as a best-in-class organization in the packaging industry
Project
Duration: 9 months
Role in the project: CPO/Head of Procurement
Area of application, geographical: Vienna, Europe
Company
Sector: Packaging industry
Turnover: EUR 650 million
Number of employees: 2000 worldwide
Description
- Reorganization of purchasing (from decentralized to centralized)
- Harmonization of processes
- Development of strategic purchasing
- Identification and implementation of potential savings
Measures
- Definition and implementation of a global procurement strategy based on the global Group strategy
- Centralization of operational purchasing
- Development of strategic purchasing
- Drive synergies between plants and categories, improve bundling activities
- Search for alternative suppliers, implementation of tenders
- Constant monitoring of global markets with regard to potential suppliers, utilization of a global supplier base
- Introduction of reporting tools and key figures
Team
- 34 purchasers at 20 locations throughout Europe
- 2 Regional purchasing managers
- 6 Strategic buyers
- 1 data analyst
Reporting
-
- Monthly update in the Procurement Steering Committee to the CEO
- Weekly feedback meeting with the CEO
- Monthly Advisory Board Meeting
Success
- Re-organization within 3 months
- Transparency in purchasing through KPI-driven action
- Savings potential of over 10 million euros identified / 4.6 million implemented in 4 months
- Preparing the organization for the new ERP system
- Selection, introduction of the new Head of Procurement
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