Rachel Lee, Director of Procurement at Norland Managed Services spoke at the CPO Event UK 2013

1. Rachel Lee
Group Procurement Director
Norland Managed Services

2. Gaining competitive advantage
through harnessing the power of
the supply chain

3. Norland at a glance
 Hard Services led Facility Management - 28 years track record
 12 Norland offices across UK, Ireland, EMEA and USA
 £312m Turnover for 2011/12
 Year on year growth of 20% in last 10 years
 96% Customer retention rate
 QHSE Integrated Management System - PAS99

4. Our Customers
 Heron Tower  UBS  Great Ormond Street
 Ark Continuity  Santander Hospital
 Morgan Stanley  Royal Botanic Gardens  Bank of America ML
 Greater London Authority Kew  HM Tower of London
 O2 Arena  Oracle Corporation  National Gallery
 Dell NEC Arena
  Microsoft
 Wembley Stadium

5. Key challenges
 Vast and diverse supply chain
 Diverse service level requirements from our customers
 ‘Subbie bashing’ culture in our industry
 Down-streamed business model
– Everyone is empowered to make decisions
– Suppliers have many touch points

6. What we did .........reversed the push/pull
Procurement initiatives
Supplier ideas & innovations
Customer requirements
Business needs

7. What we did
 Developed Full and Lite SRM
programme
• Let the business decide
 Dropped the R from SRM
– Which suppliers to be
 Used plain English – no jargon
preferred
 Changed the language
– Which suppliers for
• Subbie to Supply
Partner SRM
• ‘Your’ suppliers

8. What we did
 Set up numerous communication mechanisms
– Executive strategy days – Innovation forums
– Supplier induction sessions – Chat rooms
– Customer expectation workshops – Supplier Development forums
– Speed Networking events – Quarterly H&S meetings
– Annual Supplier Conference – Quarterly Performance review
– Trade shows meetings

9. E-Procurement tool ........for the business
users
Supplier
Supplier Contract Sourcing
Management Performance
Self registration (tenders/auctions)
(SRM)
Supplier selection
Supplier data Repository (category/region) Automated
(scored) (controlled access) scorecards
Drive compliance
Credential Search utility Selection decision Performance
management (pricing & terms) (negotiation) dashboard

10. Progress so far
 6 Strategic suppliers in SRM Programme
 100 Preferred Suppliers on SRM Lite Programme
 Many stakeholders involved from CEO to Contract Manager
 Relationships are being built effectively
 Business taking ownership
 Suppliers treating us as ‘Customer of Choice’

11. Barriers to success
 Suppliers don’t always ‘get it’
 Procurement team need ability to ‘sell’
 Time and resource available
 Trying to get to end game too quickly
 Takes time to build trust

12. Keys to success
 Culture
Connectivity
 Communication