Purchasing Consulting

Strategic Cost Reduction – Global Commodity Management  – Procurement Best Practices

Improving bottom line company financial results through the implementation of best procurement practices is our consulting focus. Our recognized skill set has led us to successful engagements in industries ranging from automotive to building materials to commercial truck and many others.

Our Services Include:

  • Optimal Sourcing – Establish supply strategies based on best sourcing practices and align with suppliers with competitive costs, superior technology, established quality, and reliable capacity. 
  • Cost Engineering – Achieve lower prices by understanding supplier cost drivers and validate supplier quotes with predictive pricing models. 
  • Nearshoring/Mexico Sourcing – Leverage our Mexico-based consulting resources to identify capable suppliers that align with company needs.

Consulting Cases

Case Study 1

Initial assessment of a $300 million company revealed sub-optimized areas in cost reduction tracking and tools, as well as employee development, rewards and recognition. Implementation of a strategic plan to address these concerns led to a sustainable doubling of the annualized cost reductions and a 90% decrease in supplier rejects. 

Case Study 2

Assessment of a $2 billion manufacturer identified an immediate need for an information systems upgrade, cost reduction tracking, and improved employee selection and development. Within ten months of conducting a gap analysis and executing the corrective measures, the company realized a 65% increase in cost reductions.

Case Study 3

An $800 million automotive supplier was having trouble leveraging material cost opportunities across 5 autonomous divisions. Using information obtained in an Excellence Assessment, APD mapped out a strategy that allowed the company to maintain divisional autonomy while obtaining improved cost reduction by selectively centralizing procurement on commodities where opportunities existed.

Case Study 4

APD was contracted by the General Manager of a $135 mil division to identify quick improvement opportunities in the process and structure of its purchasing organization utilizing our Excellence Assessment. When presented with the results of the Assessment and recommendations, the CEO immediately contracted APD to start working with his larger division.

Case Study 5

A $1.4 billion manufacturer had radically changed its manufacturing footprint and centralized many aspects of the business. Purchasing, however, remained geographically decentralized. Through an Excellence Assessment, APD identified and led the implementation of process improvements that enabled the company to centralize it procurement function, reduce headcount by 25% and improve material cost reduction performance.