Raw material procurement strategy
Redesign of the procurement strategy of critical raw materials and support to selected low-performing procurement processes
Context & Objectives

Emerton client is an aerospaceTier-1 supplier facing several challenges in parallel:

-  Steep production ramp-up requestedfrom clients

-  Ongoing manufacturing footprint redesign, including production transfers across several continents

-  PMI of recently acquired plants

-  Complex relationship with somesuppliers, in a materials shortage context

Emerton has been appointed to redesign the raw material procurement strategy and to fix some operational issues with selected suppliers

Outcome

New raw material procurement  strategy validated by client Executive Committee

Supply chain, production and  purchasing teams aligned on the procurement strategy and on newly defined  management tools

Internal teams onboarded to adjust  procurement strategy to reflect future needs or changes in business  assumptions

Our approach

Step 1: Development of a shared baseline

-  Consolidation of global raw material needs

-  Identification of sourcing options

Step 2: Co-design of procurement scenarios

-  Qualification and quantification of procurement scenarios

-  Validation with Executive Committee

Step 3: Design and hand-over of raw material procurement management tools

Inparallel: Support to selected low-performing procurement processes

-  Diagnosis of procurement issues,including audit of selected suppliers

-  Proposal of corrective actions

Set-up of daily and weekly routines to correctly execute corrective actions over time

Our experts
Pascal Simon
Managing Partner
François Sfarti
Principal
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