Worldwide Procurement Change Management
Description of Project
Wishing to release annual savings of $20m by developing a more market-facing procurement capability, our client decided to reorganise its Chemical Management Services (CMS) procurement from a dispersed basis, to one from three key global providers.
Not only requiring significant change in internal process and resourcing, the new concept would also require a revised procurement mindset, focused on long-term solution-based relationships, instead of simple transactional supply arrangements. The client would need a change programme across all of its refining and chemical manufacturing facilities across the globe, in order to manage both hard and soft change agendas.
Our team was asked to provide program-management expertise to ensure the delivery of the savings release, with our supply chain expertise, comprehensive understanding of the client’s business activities and proven capability to coordinate simultaneous program activity in Europe and America was a key component in our successful delivery.
Chaucer’s scope
The complex programme would require a comprehensive solution, so our team set up a full-scale programme control office. We then created a consensus by devising and communicating high-level program strategy and principles, developing and maintaining bespoke programme management tools including a dedicated e-project site, MS project plans, issues management and detailed action trackers.
The team regularly produced activity lists for key program individuals and implemented rigorous risk assessment, delivering risk mitigation plans with regular reporting, escalating as required. We also provided continuous guidance on the team’s effectiveness, including elements of both communication and mentoring.
Benefits
Fulfilling its main goal, the CMS programme was able to deliver on its $20m saving due to our team’s focus on outcomes and also our early identification and mitigation of significant programme risks.
Our in-depth procurement knowledge and experience in change management also meant that we were able to contribute additional benefits over and above the original Program Management brief, included the provision of content on procurement transformation, culture change, leveraging of supplier expertise, supply base rationalisation and global technical standards.
Our additional skills also helped the development of detailed activity schedules, and the planning required to efficiently and effectively govern the program.
Due to the significant value of the programme, CMS also became a showcase for best-practice programme management techniques, which were later applied to the top five programmes in six strategic performance units within the client’s Procurement Transformation initiative.
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