Bio pharmaceuticals heal the worldwide community. Without it, our health and wellbeing would suffer. When a global bio pharmaceutical leader delivers medicines that help millions of people, their workforce solution is critically important to a lot of people.
Our client operates in 20 countries with Pontoon managing a mature MSP program including an On-site program team, 60 suppliers, and 1,200+ average assignments. With key program drivers to optimize the supply base, increase spend with diversity suppliers, and develop supplier tiers reflecting the true contingent workforce needs, our client and program team partnered to enhance the supplier management strategy.
A more mature MSP requires that both the client and program team have the program data needed to make quick and well-informed decisions. The days of Excel spreadsheet calculations are long gone. We knew it was time to upgrade our supplier tracking methodology to increase program visibility lending real-time access to performance and trend analysis supplying greater program insight.
In Q2’ 2014, the Pontoon program team began using narrative building analytics powered by TIBCO Spotfire® software. Coupled with Pontoon’s proprietary data warehouse and VMS data feeds, we produce an enhanced supplier scorecard. To provide a fair and balanced assessment of our suppliers, we use a weighted scoring method for performance measures related to cost, efficiency and quality.
The scorecard empowers the MSP program team to drive performance and accountability with the suppliers while enabling them to foster deeper partnerships. The data can then be utilized to generate reports on individual supplier performance and/or to benchmark a group of suppliers. These report formats and visuals (scatter plots, charts, etc.) are easily understandable and can measure a supplier’s performance against their competitors and KPIs. These analytics tell an accurate story in real time. Information surrounding requests, speed, candidates, fills, submissions, attrition and rate compliance can all be reviewed at a moment’s notice.
With a more effective supplier management strategy, we can optimize our supplier network. It is much easier to see trending data represented as visuals. The supplier scorecard now provides stakeholders access to interactive and real-time data and analysis of the suppliers’ performance during Quarterly Business Reviews (QBRs) and other collaborations. Additionally, the numbers behind metrics provide powerful information to help increase program awareness with hiring managers and drive cost-effective hiring.
The current scorecard practice enables our program team & highly regarded client to identify performance gaps of individual suppliers and the total talent supply chain. There is also greater value in the ability to capture who our strategic long-term partners are (based on cost, quality, and efficiency) and who are in the program for less valuable reasons (.i.e. favoritism by a single manager/site/etc.).
Beyond supplier performance, by providing feedback and data to the suppliers, we guide and mentor suppliers for better performance within the program. Supplier performance is fine tuned to focus on real performers delivering value. Successful suppliers decrease cycle time and increase quality and this directly impacts client performance to their customers. Tracking the performance of approximately 60 suppliers is now done very efficiently and allows for the awareness of issues within the fulfillment process very quickly.
The scorecard has delivered the ability to breakdown the supply base into tiers; Tier 1 suppliers support 2 or more labor categories, Tier 2 suppliers support a single labor category and Tier 3 suppliers are niche suppliers: diversity, manufacturing and other suppliers who are closely aligned with candidates’ skill sets. A significant value add for the MSP program is the creation of a diversity program and spend reporting of $26.1 million in 2014.
Prior to the new scorecard platform, it would take up to 8 hours for data reporting, whereas now it takes 15 to 30 minutes even for a comprehensive report.
“This scorecard practice has enabled the program team to foster a greater partnership with the supplier base. Many of these suppliers look to the Pontoon team for expertise/guidance on how to better operate within the MSP program. The result has been a narrative-building methodology that has empowered our suppliers to make the necessary changes where needed or encouraged them with recognition as a top performer by our mutual client.”
Ryan Cox, Director, Program Management
- Diversity spend of $26.1million
- 7.5 hours saved per instance to run comprehensive reports
- Tracking the performance of approximately 60 suppliers allows for the quick awarness of issues within the fulfillment process