ERA Group's experts utilized strategic sourcing to deliver $3.5 million in annual savings for global manufacturing company NCH Corporation.
クライアント
NCH Corporation is a global manufacturer with 8,500 employees across six continents specializing in maintenance chemicals, water treatment solutions, plumbing goods, lubricants, biologicals, and parts-washing systems.
課題
Rising input costs, supply chain constraints, and geopolitical uncertainty led to an enhanced focus on cost management company-wide. NCH procures a large volume of direct materials globally (chemicals, lubricants, etc.) and consumes a significant number of containers, pallets, packaging, and MRO supplies within its manufacturing and distribution operation. NCH’s large purchase volume amongst a diverse global supplier base presented an intricate challenge to optimize supplier agreements fully, so leaders engaged ERA for help.
解決策
NCH engaged ERA Group to optimize supplier costs in select expense categories, aligning with ERA’s expertise. NCH maintains a high bar for suppliers including product specifications, quality and service standards.
ERA Group conducted multiple sourcing events primarily through comprehensive RFPs. Incumbents and new suppliers were invited to present proposals pursuant to product and service specifications. Suppliers were also challenged to introduce innovative solutions to optimize their relationship with NCH, including alternative products and contracting terms.
Our experts collaborated with NCH’s internal teams to align sourcing options, evaluate alternatives, and monitor supplier performance, ensuring product quality and service standards and improved pricing terms were sustained throughout the process.
結果
"ERA Group brought deep category expertise and supplier insight complementing our internal team’s effort to drive incremental value to the business." [ANDREW SCHREYER, GLOBAL COO - NCH CORPORATION]
