Procurement Outsourcing

Recruiting and retaining a senior procurement person can be both challenging and expensive. BSA can solve this headache by offering you a part-time highly experienced procurement leader more flexibly (5+ days per month) at a fraction of the cost.

Our team of Procurement Leaders can support the implementation of our Procurement Health Check recommendations either through periodic reviews, interim procurement staff resourcing or by completely outsourcing your procurement and supply chain function.

Areas of Procurement Outsource include:

• The delivery of actions highlighted by our procurement health check.
• The drafting and negotiation of new contracts through our expertise in tender management. This includes tenders for public funded bodies with compliance with European procurement regulations.
• The review of existing contracts to ensure improved supplier performance management and better value for money.
• The development of contract management processes.
• Developing and chairing internal purchasing forum as part of change process.
• Bid process support (to improve your chances of winning bids against your larger and better resourced competitors).
• Preparing tailored purchasing manuals and procurement strategy documentation.
• Improving financial efficiency.

Case Study: £8m t/o wholesaler/distributor

“Our FD introduced BSA to help us to identify ways to re-shape our procurement function, as we gear up to double our business in the next few years. We’ve been really delighted with BSA’s procurement expertise and see them as long-term business partners.” (Managing Director)

This client has ambitious sales growth targets but recognised the need to fundamentally reinvigorate its procurement function to ensure that major cost savings could be realised – both through challenging suppliers and their own internal procedures and processes. They asked BSA to work with them to guide them through this change.

Stage one was the delivery of a procurement health check (something we would strongly recommend prior to delivering any of our other services). This involved Directors and staff interviews, reviews of contract and tender documentation, analysis of financial data in relation to spends and suppliers, anonymous feedback from certain suppliers, review of any procurement related guidance and training documentation, spend authority guidelines etc. We then put together a set of recommendations based on the findings together with a proposed action plan to deliver significant cost reduction and improved governance across the organisation (where procurement was not wholly centralised).

Stage two is to support the organisation in the implementation of these recommendations. We have a highly experienced Director-level Procurement professional working as part of their internal team and he has already started to develop strategies to delivering significant total cost savings and risk mitigation through negotiations and tenders with the client’s key suppliers. He’s also tightening up the terms and conditions and reviewing the ERP software to see how it might be used more effectively.

Over time, we will also be looking to deliver significant overhead cost savings in several areas of routine cost, including utilities, stationery, via BSA Buying Group. The savings made here will help to offset our fees, and free up their staff time to focus on more business-critical issues.

If you're considering outsourcing elements of your procurement function then please call us on 0800 254 0344.

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