Sourcing Personal Protection Equipment
Spend Consolidation and Supplier Aggregation Programme
Sustainable value created
- Long-term contracts with qualified suppliers and a more consolidated supplier base
- Less workload through streamlined procurement processes, clear governance, and a fit-for-purpose compliance strategy for tail spend
- Demand reduction initiatives (e.g., vending machines, benchmarking, budget limits) further improved efficiency and reduced consumption
Client Profile
With a turnover of over €3 billion, this company is a global leader in the production of a few specific steel components for a variety of industries, operating in 45 countries.
Project Scope
The project scope included PPE, covering apparel, gloves, and safety products. The initiative faced several challenges: unclear scope at the start, and major difficulties obtaining reliable data.
PPE sourcing was highly fragmented, with specifications set locally, many small local suppliers, limited standardisation, and contracts that were difficult to align or renegotiate. This resulted in inefficiencies, poor spend visibility, and reduced leverage, while COVID-19 further increased ad hoc costs.
Hudicor’s Approach
he approach combined spend and market analysis with stakeholder interviews to map requirements, assess tail spend, and identify opportunities such as demand reduction (e.g., vending machines, benchmarking, budget limits).
Based on these insights, a sourcing strategy was defined to rationalise spend, aggregate suppliers, and design compliance channels.
Finally, the strategy was executed through tenders and negotiations, supplier selection, contracting, and implementation with savings tracking.
€2 million in price and spend savings were realised on a total spend of €6.5 million
Interested in accelerating procurement performance and savings?
