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Procurement Transformation - Automotive

Case Example:
Procurement Transformation - Automotive

Industry

Automotive.

Client

Global first tier systems supplier.

Role

Interim Purchasing Director

Transformation Automotive

Background to Purchasing Interim Management Assignment

The business had been recently acquired by the Swiss multi-national client. It was unprofitable and a new executive turnaround team was recruited including: Managing Director, Operations Director, Purchasing Director and HR Director. The business was being starved of cash by its parent, to force it to make cost savings. Outside of the new executive team morale was very low. The purchasing team was transactional not strategic and was also responsible for managing inbound logistics and warehousing.

Key Activities as Interim Purchasing Manager

  • Conducted a rapid review of the spend
  • Diagnosed critical improvement opportunities
  • Decoupled purchasing from tactical logistics & warehousing, to concentrate on strategic purchasing
  • Empowered existing purchasing manager
  • Recruited new buyer with strong technical background internally
  • Introduced the tracking of published polymer indices
  • Coached new buyer to deliver 38% saving in LDPE polymer prices
  • Avoided £ 149k increases and delivered £ 325k “Quick Hit” savings in first three months
  • Led multi-disciplinary team to solve business's most critical supplier quality problem
  • Managed business continuity despite force-majeur situation at key supplier
  • Led capital purchasing project for specialist tooling
  • Managed challenging supplier payment situation carefully in conjunction with credit control manager
  • Introduced supplier of key polymer extrusion - 23% saving.
  • Contract extended twice
  • Offered the position on a permanent basis (declined)

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Client Reference

Client Logo

Rieter Automotive Systems has recently been re-branded as:


Client Logo

Autoneum is the global technology leader in acoustic and thermal management solutions for motor vehicles.

The company is a leading partner for the major light vehicle and heavy truck manufacturers around the world. Autoneum provides innovative and cost effective solutions for noise reduction and thermal management to increase vehicle comfort and value.