Transformation of the purchasing organization
Goal: Establishment of a powerful purchasing team at the site
Project
Duration: Identification and implementation 6 months | Further 3 months search for suitable managers
Role in the project: Head of the purchasing team
Operational area, geographical:
- Germany
- Switzerland
Company
Type: Mechanical / Plant Engineering
Turnover: 4 Bn. EUR
Number of employees: 16,000
Description
At the beginning of my employment, I found a demotivated procurement department whose key figures were unsatisfactory
- Relatively large team without clear structure
- Processes were not clearly defined
- High fluctuation in the team
Measures
- Identification of the problem
- Gaining the trust of the team and the management by setting up an action plan
- Reorganization of the team into small units with clear areas of responsibility and their own team leaders
- Teambuilding activities
- Process improvement
- Integration of purchasing into the entire organization
Team
- 15 Employees Purchasing
- Heads of the other departments
- Chief Procurement Officer
- Human Resources
Reporting
- Weekly purchasing meeting
- Informal discussions with employees
- Regular feedback meetings with CPO
- Regular appointments with personnel department
Interfaces
- Team
- Heads of the other departments
- Plant Manager
- CPO
- HR
Success
- Taking responsibility of the employees for their activities and solving the related problems
- Improved purchasing metrics (savings from 0.7% to 3.1%, on-time delivery from 78% to 89%)
- Better standing of purchasing at the location
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