Project Success

Healthcare

Project at a glance

Client: State hospital group with 12 locations

Consulting activity:

  • eProcurement catalog purchasing for C items
  • Tendering economic requirements, investments
  • Global sourcing disposable medical products
  • Improvement of working capital
  • Analysis and optimization of existing purchasing processes and procedures

Initial Situation

  • The company should achieve a higher return on sales by optimizing procurement costs
  • High process costs for orders
  • Increasing cost pressure
  • No bundling effect due to decentralized procurement in respective locations
  • Strategic purchasing activities are not recognizable in the purchasing department

Project success: 8-25% savings

Project execution

In the context of procurement cost optimization, various purchasing levers were identified and successfully implemented. After the commodity group analysis, the direct as well as indirect goods were standardized and bundled and put out to tender in order to achieve synergy effects. For C items, eProcurement was introduced, resulting in savings of more than 20%. Working capital was improved through new negotiations on payment terms and consumption management. The use of the global sourcing strategy intensified competition and led to further savings.

Result of the project: savings of 8-25% per product

The purchasing processes were then analyzed and a concept was introduced with measures to increase transparency and efficiency in the purchasing process. The customer's procurement staff were trained in procurement workshops. At the same time, further approaches were designed to realign the purchasing department.