Crimson & Co

Supply Chain Consulting

Selected Services Assignments

IT Outsourcing

This consulting organisation had previously outsourced its IT services in a 10 year agreement. By benchmarking the current contract we identified that there were significant savings possible through re-negotiation. The implementation process involved reviewing the requirements to put in place standard specifications against which a new cost structure was agreed. In addition a service level agreement (SLA) was introduced to simplify control and management. The results were an 18% reduction in the cost of the contract and a simplification of the contract management processes which reduced the internal team from eight people to two. Most importantly the long-term objectives of both companies were aligned through the incentivised service level agreement.

 

Spend Analysis

This large charity had highly fragmented expenditure, spread across its large number of UK sites. It wanted to understand its external spend as the basis for identifying the true costs of its current policy for local sourcing. By using information from the accounts payable databases we built up a comprehensive picture of all expenditure by category, supplier and client site. This information was then used to determine the benefits of more centralised sourcing activity.

 

Strategic Sourcing – Marketing, Print and Postage

The client who is a highly decentralised professional services & outsourced services provider, required consulting support to optimise their spend on printed materials for both operations and marketing activities. The 20% savings target was £1m on a £5m spend. Following a structured spend analysis and stakeholder engagement with the high spending divisions, a full e-tendering and e-auctioning process was completed. The results included reducing the number of print suppliers from over 80 to 8 (with a further reduction planned at end year 1), signed-off savings of £1.7m (34%) and the establishment of robust contract control to ensure company-wide compliance.

 

Field force optimisation

This gaming machine operator undertook a one year change program restructuring their national field-force organisation. The change programme included the implementation of an outsourced national spares distribution centre with a drop-box network, enabling parts to be delivered direct to the best location in the field and reducing engineer travel time. This was coupled with a dynamic ‘break-fix’ scheduling system to improve SLA performance and productivity. The programme delivered a significant reduction in cost, together with improved first-time-fix rates.


Retail | FMCG | Distributor and Wholesale | Automotive and Aerospace | Pharma and Health Care
Public Sector | Services | Oil, Gas and Telecoms