Purchasing Manager (interim)

Client:

Propulsion and fluid power companies

Key figures of the company:

Industry: Propulsion and
Fluid

Turnover: 45 million euros

Employees: approx. 275

Project duration: 2021 – 2022

Situation:

The customer is a globally active group in the field of drive and fluid technology with direct and indirect subsidiaries.

The company has been supplying its customers from a wide range of industries for almost 100 years.

For several years now, the Group has been reducing its overcapacities in Europe by systematically closing production sites in order to ensure that competencies and capacities are focused on increasing customer benefits.

The initial situation for the site closure in Germany as well as the simultaneous relocation of production and assembly lines and the transfer of an established global supplier market to the Czech Republic is complicated by Corona, the shortage of raw materials and components and increasing customer demand.

Main

Head of strategic purchasing, scheduling and procurement with 10 employees as well as sub-project management for supply chain management at the German production site. The variety of parts in the area of individual parts for the manufactured product range is approx. 250,000.

Measures

Ensuring delivery capability through continuous updating of ERP master data
Active supplier management in day-to-day business through supplier discussions, negotiations and new qualifications
Derivation of measures on the basis of the established EK key performance indicator system
Reduction of material costs and development of sourcing strategies as well as
Supplier Concepts
Daily participation in shop floor meetings and derivation of short-term optimisation measures for missing parts and short-term material requirements
Implementation of needs and structural analyses with the company’s own ERP system
Ensuring site-specific Corona agreements
Performance and implementation of activities within the management function
Introduction of weekly and monthly meetings to ensure the flow of information and communication in a challenging situation for employees
Preparation of interim and final certificates

Results

Introduction of standard processes in the area of strategic purchasing, scheduling and procurement within the process of relocation
Improvement of ERP master data quality led to an increase in delivery capability to over 60%, despite a very critical supplier market in some material fields
Stabilization of SOTD to over 80%
Reduction of the purchase backlog by 50% compared to Confirmed Material Requirements Appointment
Short-term requalifications of several suppliers and the development of new sources of supply help to minimize the backlog of sales

Special Challenges