Sourcing & SCM
Sourcing & SCM
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Jeyes Group Interim Procurement Management
British company Jeyes Ltd. is a leading manufacturer of household cleaning and hygiene products. Alpha provided Jeyes with an array of services which led to the opening of a 17,500m2 production plant and warehouse in Kadan, Czech Republic, in 2006.
One of Alpha’s key services was interim procurement management during the months prior to production launch. An Alpha procurement manager was seconded to the Jeyes purchasing department to execute a seven month “pre-purchasing” project, identifying new suppliers in the region and initiating contract negotiation.
Having decided to move much of its production from the UK and Germany to the Czech Republic, Jeyes saw the need to develop a local supply base in order to ensure high supply chain responsiveness, low inventory levels and minimal logistics costs.
Alpha’s procurement manager visited Jeyes’ sites in the UK and Germany, familiarising himself with existing supply arrangements and plans for future development. A cross-functional team was formed within Jeyes to provide product information and prepare for the smooth handover of the project on completion.
Product and transport packaging was targeted as the start point for the supplier search. Alpha identified high-quality suppliers in the Czech Republic and neighbouring countries which were often able to provide 10-20% savings on existing product prices, while providing high levels of customer service.
By the time production started in the new plant, Jeyes was in a position to switch to local suppliers in several product categories with substantial projected savings.
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