Entries by Violaine Lemaitre

Optimizing Purchasing & Procurement Interface

We aimed to enhance the performance of the process and the efficiency of the Purchasing & Procurement function for a Tier 1 player in the Aerospace & Space Industry.


Context

In a context of tight deadlines and the need for improved On-Time Delivery (OTD), we mapped out all interfaces between Purchasing and Procurement for a Tier 1 player in the Aerospace & Space Industry. The goal was to reduce cycle times, enhance the handling of shortages, and proactively address potential disruptions with suppliers.


Approach

Initially, we conducted a comprehensive diagnosis of Purchasing & Procurement through interviews and data analysis. From this diagnosis, we identified areas for improvement and devised an action plan.

This plan, consisting of 130 actions, addressed aspects of organization, processes, data, performance measurement, and collaboration with suppliers.

We then focused on five priority initiatives to achieve market-acceptable performance levels. These initiatives were led by internal resources with our support for additional analysis, indicator development, or preparation of decision-making committees.


Results

Formalization of existing and target processes.

Data analyses of Purchasing & Procurement that highlight critical areas and priorities.

Engagement and alignment of all relevant stakeholders towards collective performance objectives.

  • A 20% reduction in shortages after 6 months of the project.
  • A 30% decrease in stock levels over a 12-month Rolling Forecast.
  • A 15% improvement in On-Time Delivery (OTD).