Intentional supply chain design during MSP implementation
Our MSP programme assessed a large US healthcare organisation’s supplier network, revealing a clear diversity gap.
Through close collaboration, we optimised the supply chain, resulting in 25% annual increase in Small Disadvantaged Business (SDB) spend and an overall diversity spend of 70%.
The redesigned supply chain delivered greater efficiency, control and long term stability.
Addressing a diversity gap in the supply base
Upon the transition to Pontoon's MSP, the client wanted to leverage our supplier ecosystem to optimise its supply base quickly and with minimal disruption.
Initially, all existing suppliers were migrated into the programme to safeguard business continuity.
Early analysis showed that the inherited supply base lacked sufficient diversity representation, limiting the organisation’s ability to meet partner and stakeholder expectations.
Client’s senior stakeholders asked Pontoon to review and redesign the supplier mix to improve supplier diversity and align with broader workforce and procurement priorities.
A targeted procurement and supplier partnership strategy
Pontoon worked closely with the procurement team to right-size the supply base while maintaining performance and access to critical skills.
The objective was to retain high-performing suppliers while significantly increasing participation from Small Disadvantaged Businesses (SDB), defined as organisations owned by socially or economically disadvantaged entrepreneurs.
A formal RFP process was launched, engaging 70 suppliers. This included legacy vendors, Pontoon recommended diverse and non-diverse partners, and local diversity firms identified by internal stakeholders.
Measurable gains in supplier diversity spend
The final supplier roster comprised 30 partners, including 16 SDBs and 14 non-SDB organisations.
Suppliers were grouped by labour category and tiered to drive clarity, speed and performance.
This redesigned approach increased SDB spend by 25% in one year. Overall diversity spend has reached 70%, reflecting a 51% increase since the approach was implemented.