EBITDA Improvement Focused Procurement Transformation
Working with a leading international packaged foods company to transform the management and execution of procurement projects to deliver EBITDA improvements.
- The organisation wanted an outsourced procurement service to run their indirect materials organisation and help deliver an improvement to EBITDA of €5m per annum.
- The objective was to improve enterprise value and return cash to fuel growth within the business.
- The 4C team used its 4C Insight-as-a-Service procurement diagnostic and reporting suite to conduct a systematic review with key stakeholders.
- We identified a portfolio of projects to deliver benefits, including non-EBITDA impacting benefits.
- It was critical to deliver a complete business service rather than focusing only on projects with the largest savings and our tools provided a single source of data, providing visibility required to build stakeholder engagement and fuel future progress.
- A total of €24m in benefits was delivered from 500+ projects, improvements to reliability, supplier innovation, supplier quality and supplier agility were also delivered.
- 4C’s 4Tracker tool enabled the team to report on project progress and evidence savings delivery to stakeholders.