Managed Procurement
Clients have turned to Clearview to provide managed procurement services for a variety of reasons. The circumstances of our engagements are always quite different.
There are a variety of solutions or services that we can offer our clients. It is rare that there is a standard, cookie cutter solution. We find that their objectives are usually common:
- Control
- Compliance
- Savings
- Efficiency
- Risk mitigation
- Enabling growth
Drivers for Change
No forward planning or engagement with the business
‘We have a massive backlog of procurement projects that we can’t get to, and the business partners are demanding immediate action. We are flying blind’
Audit Findings
‘Two set of audits, both internal and external, highlight significant procedural and control gaps procurement. They are very much in the spotlight.’
Transformation
‘The business is under pressure. Procurement needs to step up, but our current model is ineffective. We need to be more competitive.’
Poor environment, and underperforming teams
‘The relationship between the incumbent procurement provider and key business partners has completely broken down. They don’t trust them. They won’t engage, and they want them out’.
Capability gaps vs goals
‘We’ve been set massive savings and compliance target by Group. We just don’t know how to get there.’
Supporting Growth
‘As we roll out our new medical service, we need to build a new, high-performance supply chain. Where do we even start?’
Resourcing
‘Some of our key personnel are leaving at a critical time, and we are so exposed in Procurement.’
Case Study
Background
- International Financial Services organisation, with significant EU operations
- No internal Head of Procurement, no internal team
- Underperforming incumbent provider, abandoned the client
- Internal clients withdraw, not collaborating and self-deliver while demanding a new solution
- Massive backlog of key projects not procured, large tail of expired contracts
- Internal audit highlighting major control, compliance and other policy and structural issues
- Inadequate procurement systems
- Significant inefficiencies
- No visibility to spend, contracts
Managed service
- Clearview Transformation and Category Team assigned on site, including CEO
- Stability and recovery – engaged with all stakeholders, rapid prioritised turnaround of backlog, close compliance gap
- Developed a procurement plan, contracts database and register of planned projects
- Conducted rapid Procurement Diagnostic and developed Transformation Plan
- Implemented Category Management model with 5 main portfolios – category plans, teams comprising the client and Clearview
- Managed transformation workstreams
Characteristics of Approach
Phase 1
- Expertise
- Stability
- Structure
- Commitment
- Control
Phase 2
- Listening
- Credibility
- Rapid outcomes
Phase 3
- Reliability
- Trust
- Engagement
- Planning
Phase 4
- Culture
- Collaboration
- Partnering
- Creativity
Clearview Outcomes
- Positioned the procurement function as the highest performer across the organisation’s EU international group model
- Delivered Return on Investment of up to 19x year-over-year
- Clearview exceeded our SLA for 4 years running
The scale of organisations’ spend with suppliers typically range between 40% – 80% of their overall costs. Many organisations do not recognise how Procurement must support and enable the business. At Clearview, our philosophy is to engage with our clients to deliver Procurement Advantage™ – that is, advantage to the business through procurement. Scaling efficiency is usually a measure of Procurement’s impact and, regardless of whether an organisation is growing or contracting, spend with suppliers as a percentage of revenue should be contracting.
Clearview Leads You End to End
- Oversee and manage all procurement activities
- Includes Corporate Procurement Planning process and transformation activities
- Spans all portfolios and end to end life cycle from scoping, through planning, tender and post contract management
- Assume lead responsibility for an entire portfolio or portfolios of spend
- Work alongside client team
- Responsible for all categories and end to end life cycle from scoping, through planning, tender and post contract management
- Assume lead responsibility for specific category or categories of spend
- Work alongside client team
- Responsible for category(ies) and end to end life cycle from scoping, through planning, tender and post contract management
- Take responsibility for tendering activities either as a specific programme of work, across all portfolios or within specific categories
- Provide all eAuction services for the organisation
- Provide interim, key resource support across a variety of roles including Head of Procurement, Portfolio Manager, Category Manager, Category Analyst or Buyer