Sourcing and Contract Optimization

Sourcing and Contract Optimization

TISc offering for bigger companies

  • Reviewing existing sourcing contracts,
  • Optimizing work of sourcing department
  • Assisting in establishing a well-functioning sourcing organization internally

Business vision:

  • Change creates growth
  • Relations create opportunities
  • Globalization creates the possibility of implementing ideas where the return of investment seems most likely

How it is done:

  • Motivational and ambitious management approach to teams
  • Using strong negotiation skills and result driven focus towards external partners
  • Strong drive to identify new and improved solutions based on analyses and market understanding
  • Providing excellent business understanding and supplier relations skills
  • Work in a collaborative way with your teams, also in a matrix management style organization
  • Process Improvements and Change management are a must
  • Creative, strategic thinking with an analytical approach

Our sourcing specialists come with a range of relevant skills, to name a few

  • Vast experience in Negotiations and Sourcing
  • Contract Law degree (University of Copenhagen)
  • DILF Certificate I (Purchase, Logistics and SCM) and Certificate II (Procurement)
  • DIEU courses in situation based negotiations
  • TISc Executive Program Training

Languages in which we can work:    

  • Danish        
  • English       
  • Russian      
  • Ukrainian
  We look forward to an open mutual dialogue on how Trade Institute Scandinavia will be able to assist you in your sourcing challenges.
  TISc is focused on finding the right terms, engagement criteria, and renumeration models that benefit all parties.

setup a meeting, please email Corporate Secretary Katrine Larsen

info@tradeinstitute.org

Project Examples and experience:

Focus:

Strategic Sourcing Power Distribution BU, Northern Europe

Overall responsible for the BU’s strategic sourcing, covering Direct Spend of approximately €350M a year

Assignee:

Group Vice-President

Actions taken:

  • Problem solving – efficiency / processes optimization
  • Execution / implementation
  • Change management
  • People Management

Key competencies and activities: 

  • Strategy/Business development
  • Constantly seeking to expand professional Network and seek new usable knowledge within the Group of Companies
  • Conduct Business Intelligence

Results:

  • Achieved savings between 15 – 35% of all the services and products we took in tendering.
  • Indirect (interim) management of BU procurement teams
  • Delivery of large scale consolidated purchasing across international BUs
  • Setup program to execute on Must Win Battles
  • Gather, document & implement best practice
  • Interim governing strategic programs
    (supplier relocation, reductions, contracts etc.)
  • Ensure a transparent Sourcing function towards key stakeholders and group functions.

Focus:

Professional Services and Marketing (interim)
Head count: 3

Assignee:

Head of Indirect Procurement

Actions taken:

  • Interim management taking the team lead until the right candidate was found.
  • Taking lead of a team of three Category Managers.

Results:

  • Finishing several negotiations, closed 4 contracts, assisted in finding the right permanent hire.

Focus:

Head of Procurement (interim)
Head count: 4

Assignee:

Vice-President of Operations

Actions taken:

  • Interim management taking the team lead until the right candidate was found.
  • Responsible for procurement optimization, efficiency and streamlining business processes in these areas.

Results:

  • Delivery of significant savings (108% of cost reduction 2016 in 5 months), procurement transparency, and optimization of procurement procedures.
  • Achieved savings between 15 – 50% of all the services and products that were taken in tendering.

Focus:

Procurement Management optimization

Assignee:

CFO

Actions taken:

Involved in international operations in the company’s Group across business units in the Baltic countries as well as in Northern Europe.

Responsibility for projects with business stakeholders and local management teams including senior executives. Tasked with identifying and sharing business opportunities, challenge existing vendor relationships and securing agreements on initiatives.

Responsibilities included:

  • Negotiation of contract volume of approx. EUR 20 million.
  • Project management of strategic sourcing projects.
  • Leading procurement projects in Nordic group Mobile BU.
  • Improving Working Capital.
  • Development of SRM framework and implementation of same for category management.
  • Project management with internal stakeholders across several business units in several countries.
  • Supervising, coaching, and mentoring staff.
  • Tenders for project contracts and for annual contracts.
  • Concluding and managing annual contracts with key suppliers.

Results:

  • Establishing an optimal procurement process in a company characterized by different corporate cultures and different approaches to procurement.
  • In close collaboration with production units, and project management teams, by changing attitudes in the company, we restored and developed an optimal procurement function for the company.

Focus:

Category Management

Assignee:

CPO

Actions taken:

  • Optimizing company’s global spend within Direct spend Categories and support New Tonnage Strategy in collaboration with stakeholders across the organization.
  • Drive the Maker’s Management and Owner’s benefit negotiations.
  • Optimize and achieve the lowest possible Total Cost to Company (TCO) and to ensure minimal contractual and commercial risks for the Company, while taking quality, risk, environmental and social aspects into due consideration.

Results:

  • Prepared and executed negotiations in cross-functional teams and finalized frame agreements with selected suppliers. Introduce Maker’s Management and Owner’s benefit program.
  • Prepared structure and frameworks for further self-management in the Company.

Focus:

To Evaluate Contract Management

Assignee:

Procurement Manager

Actions taken:

Focus on development and implementation of procurement strategies in the company’s Business Units.

  • Negotiating framework agreements and prices.
  • Active collaboration and engagement with suppliers.
  • Supporting projects and investments decided in cooperation with the operating units.
  • Ensuring strategic fit and risk management for various projects.
  • Defining and managing the implementation of purchasing strategies.
  • Supplier and spend analysis, incl. supplier segmentation.
  • Implementation of e-procurement.

Results:

  • Annual target achieved after 8 months, cost reduction + DKK 1 mio
  • Achieved savings between 20 – 40% of all the services and products in tendering.
  • Set up of annual contract management by Government Partner.

Focus:

To Manage Regional Purchasing

Assignee:

CEO

Actions taken:

  • Supplier relationships
  • Negotiation
  • Re-engineering of business processes /performance specifications
  • Finding more suppliers of plywood in Russia, Ukraine and Belarus
  • Visiting factories to check upon their ability to deliver the desired quality
  • Contracts negotiations
  • Maintaining daily contact with suppliers.

Results:

  • New structure for the Purchasing Department and establishment of direct contact with producers – via solid change management process (from procurement based on business through agents).
  • Faster delivery of orders, fewer errors and lower sourcing expenses.

Trade Institute Scandinavia (TISc) is a Scandinavian consultancy and investment company, constantly following actions and trends for what is going on in terms of Trade, Export and Financing.

 Through our partner and membership programs we engage a network of business partners, incubator facilities and advisors globally.

 We are Trade Advisors with a vast experience in Export and Trade on both government and executive business levels. For you this means, that when working with TISc, you will automatically get valuable questions and insights that help improve your operations, sales opportunities and an expansion of business ideas.