Our Rapid Sourcing methodology tackles the ‘tail’ of your procured spend through a highly accelerated sourcing process. Strategic Sourcing is too slow/uneconomic to apply to much of the tail. Yet cumulatively, the tail still represents considerable spend.
We invented Rapid Sourcing in the early 2000s to solve this problem – a rapid, process-efficient methodology to capture 80:20 savings from the tail spend. Our experience shows cost savings of 4-9% are possible over a typical 8-12 week engagement.
Rapid Sourcing involves direct negotiation with hundreds of non-critical suppliers, resulting in volume reallocation or consolidation to the best ones. Our methodology is:
- We conduct a rapid diagnostic of your supply base, existing market and contractual conditions
- For each supplier we define the process, strategy, negotiation objectives, and end states
- We prepare a negotiations script, conduct training and coach your team through mock negotiations
- Together, we conduct negotiations with suppliers
We use our proprietary tool SpeedSource to deliver Rapid Sourcing engagements. SpeedSource makes it easy to rapidly source hundreds of suppliers over a few weeks:
- Run hundreds of negotiations concurrently
- Centralise supplier interactions
- Streamline team efforts
- Monitor savings achieved in real time
Capability development is a key feature of all our engagements, which enables clients to maximise ongoing benefits.
We delivered results that were an order of magnitude greater and more rapid than any I have seen from consultants – and they came in under budget. MARK, BUSINESS DEVELOPMENT, MINING INDUSTRY - PORT OPERATIONS
