Supplier Management problem to solve
A construction equipment manufacturer wanted to reduce the number of packaging suppliers and at the same time optimise its packaging in order to improve quality and reduce costs.
DS Smith Packaging Services Supplier Management Solution
DS Smith Packaging Services took over the management of all the current packaging suppliers in a structured process and became the single point of contact. We then segmented the suppliers according to their capabilities and impact on the business. Service Level Agreements were then drawn up and agreed with the suppliers and their performance was measured against this.
Finally, new suppliers were introduced where identified new product developments would add value and reduce total cost and to provide competition for some of the existing suppliers.
DS Smith Packaging Services Supplier Management benefit for our customer
- Improved supplier performance
- Reduced product damage due to improved packaging.
- Lower total cost packaging
- Cost effective packaging solutions
- Reduced number of packaging suppliers