Procurement Strategy

The procurement team was undervalued by the business units, resulting in missed savings opportunities.

Business teams did not feel supported in negotiations, while morale within Procurement was low.

Turnstone provided a clear Procurement Strategy, identified savings targets with a roadmap to achieve them.

Roles and responsibilities were revisited to address low morale, with business involvement and communication to ensure new strategy could be rapidly approved.

The implementation of the strategy delivered the following benefits:

• £400k savings achieved during period of assessment (average 29% saving)
• Business unit awareness of procurement value raised - team now involved at project start rather than cost negotiation
• Clear resource development strategy in place to deliver a world class procurement team

A strategic review of the supplier base and associated savings potential, current processes, and relationship with the business functions was undertaken by Turnstone.

Business unit interviews uncovered issues to be tackled and kept stakeholders informed of the approach.

Socialisation of the proposed strategy was essential to ensure business approval.

Knowledge transfer to the in-house team enabled them to continue working towards the agreed strategy.

Peter Callow, Head of Finance

“Turnstone undertook a rapid review of the company’s procurement function, used to re-task toward strategic sourcing and supplier negotiation.  Turnstone also negotiated savings of £190k (13%) on one contract, supporting our in-house procurement team during a peak workload.

As well as a healthy ROI from deploying Turnstone, our in house team absorbed skills which will benefit us going forward”