OPTIMBUY developed a broad diagnosis process. Over a 3 month period we analyzed company organization, suppliers (characteristics, negotiation process, performance assessment, logistics and contracts), financial performance, service levels and systems for main profit centers.
Conclusions were presented to key stakeholders and included: complex organization lacking clear responsibilities, multiple suppliers sometimes covering multiple profit centers with different prices and terms, lack of consistent financial performance, more focused on pleasing internal customers than bringing real value, inconsistency of monitoring systems and need for a small central organization.
A new strategy and action plans are proposed based on a “5 step approach” customized based on each profit center situation (purchasing organization, needs and volumes). Once approved, implementation is conducted over a 6 month period.
Policy and procedures manuals are simplified and communicated to locations.
Responsibilities & accountabilities are redefined as well as relationships between profit centers and central organization.

Best practices are shared through a formalized Supply Chain intranet forum. A comprehensive training program is developed and delivered by OPTIMBUY.
A plan to rationalize and consolidate suppliers is developed, some of the categories are assigned to profit centers' purchasing leaders and negotiations are conducted under OPTIMBUY guidance.