How we instilled structure into our client's supply chain management

How we instilled structure into our client’s supply chain management

Summary

Client in need of a structured supply chain management process

Our client needed to actively partner with their supply base, strengthen contractual terms, and better measure programme outcomes. Pontoon took steps to enable performance tracking, standardise critical processes, and lower client costs.

The challenge

Enabling streamlined management of supplier partners

The programme didn’t have a standardised contract incorporating the MSA changes or any additional verbal agreements with suppliers, and our team had to support streamlining the contractual setup.

Pontoon’s team needed to build a unified rate card structure, as the client had operated without one.

On top of that, there were no proper forms or procedures to address multiple business areas across our client’s organisation, so we had to create those.

How we helped

Implementing tools to drive a uniform supply chain management

Pontoon’s team created and implemented Supplier Rules of Engagement to drive unified processes across all supplier partners. We built and distributed a RACI Ownership Matrix to streamline and clarify accountabilities at each process step.

In addition, our team recreated and standardised all supplier agreements, followed by successful negotiations with the recruiting partners. We also implemented quarterly scorecards and performance surveys to allow for enhanced measurement of suppliers and regular feedback on our performance.

Impact

Realising process and cost efficiencies

The standard agreements and supplier engagement rules allowed for uniform programme management, while the ownership matrix brought structure to everyday operations.

The reduced and standardised markups provided continuous cost savings of over $300k.

Performance management tools gave visibility into the quality of programme delivery.

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