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Power Generation & Retail - Europe CLIENT STORY

Challenge

This organisation is a European power generation and retail service provider. 

  • £1.0bn of external expenditure
  • Sourcing methodology implemented for 2-3 years but not considered effective
  • Knowledge levels good but application perceived to be poor
  • Need to reduce cost base and improve   management of complex   commodity categories

Approach

  • ArcBlue undertook a structured assessment of the total expenditure using its spend analysis methodology
  • We undertook a review of how key categories were managed
  • Reviewed supporting management practices, coaching and mentoring frameworks and assessed team skills

Results

  • Identified benefits of around £25m across 12 key commodities totalling £300m
  • Developed outline source plans using cross-functional business engagement
  • Upgraded the sourcing methodology developing an on-line intranet based tool
  • Delivered training in the tool and strategic processes to 70 people
  • Implemented coaching and mentoring frameworks supported by SMEs
  • PROGRAMS DealMaker Academy Compass CATalyst
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