Alchemy Supply Chain Management provides independent and sustainable purchasing and supply chain solutions through hands-on work with clients to drive out costs, maximize profits, and deliver tangible results. They have experience in strategic sourcing, cash optimization, category management, procurement process improvement, tail spend management, and training. Alchemy Supply Chain Management offers flexible and customized solutions to meet each client's individual needs and critical issues.
2. Alchemy Supply Chain Management is an independent company that
specialises in the provision of sensible and sustainable Purchasing
and Supply Chain solutions.
We offer a bespoke, flexible and cost efficient service to each
individual client that is independent and honest and that involves the
client at each stage of an assignment. Our approach is very much
hands on and involves working closely with both internal and
external partners to convey concepts and ideas in a manner that will
inspire and motivate them to fulfil their potential, drive out costs,
maximise working capital and to deliver a tangible contribution to
bottom line profits.
3. We have been working with a number of leading
organisations to achieve tangible improvements and deliver
significant results in the following areas:-
Strategic and Enabled Sourcing
Cash & Working Capital Optimisation
Category Management Implementation and Forensic
Analysis
Procurement Process Improvement – P2P
Tail Spend Management
Risk Mitigation
Training, Up Skilling, Mentoring
What Are Your Purchasing Critical Issues?
4. Client’s Need
Incremental sustainable savings delivery.
Short term access to skills, market & benchmark data. Challenge internal prejudices, support in
engaging with challenging stakeholders
Move from price to cost focus.
Our Solution
An innovative approach to savings/value improvement
Worked closely with stakeholders throughout sourcing process, involving them at each stage.
We embed in the client’s category team and provide leadership & programme focus as well as
delivering a structured skills transfer whilst delivering a category strategy.
Can be tailored around client’s existing sourcing strategy & process
The Benefits
Best in class savings.
Accelerated delivery.
Scalable level of resource, no increase in headcount.
Reduced management time.
Increased visibility of spend.
Audited and tracked savings reported – Qualified and Quantified
Rapid upskilling of procurement team who are measurably more focused and more motivated.
Risk mitigation
Strategic and Enabled Sourcing
5. Client’s Need
To move from tactical to strategic purchasing methodology
To better understand and analysis spend data
To engage with key stakeholders to deliver robust solutions that reflect the needs of the business
To alter the internal relationship dynamics from ‘push’ to ‘pull’
To deliver a sustainable total cost of purchase reduction strategy
Our Solution
Delivered a data driven programme that highlights what is spent, with who, on what and why.
Broke spend down in to market facing categories that reflect the operation of the business
Produced a list of potential opportunities for cost and value improvements by spend category
Worked closely with key stakeholders throughout sourcing process.
Provided an industry proven structured strategy & process that is fully auditable
Can be tailored around client’s existing sourcing strategy & process
The Benefits
A targeted programme of savings through maximising purchasing spend
Clear understanding and visibility of spend data through the development of ‘preferred/authorised’
supply partners
Robust MI, KPIs and SLA to monitor performance and drive continuous improvement
Improved engagement and functional interaction
Risk Mitigation
Category Management Implementation
6. Client’s Need
A full review of current processes, practices and procedures.
Adherence and compliance to Procurement processes.
Mapping of the P2P process.
Alternative purchasing methods - Procurement Cards due diligence
Our Solution
A full review and overhaul of processes, practices and procedures.
Bridged gaps in compliance.
Drove rigorous process adherence.
Can be tailored around client’s existing sourcing strategy & process.
The Benefits
Introduction of meaningful and reflective processes, practices and procedures.
‘Soft’ savings.
Reduction in resources and possible re-allocation of headcount.
Improvement in processes, including consolidated invoicing, EDI, P Cards
Risk mitigation
Procurement Process Improvement
7. Client’s Need
Adherence and improvement to payment terms.
Suppliers to help fund their business.
Stringent inventory management.
Eradication of maverick spend.
Purchasing Cards
Our Solution
A flexible approach that can quickly adapt to changing business needs
Introduction of Inventory Management tools & techniques – VMI, consignment stock
Improved forecast planning – balancing lead times with WIP & cost of inventory
Maximise company’s market positioning & strengths
A robust suite of KPIs to monitor financial impact whilst driving continuous improvement
The Benefits
Improved cash benefit through capital employed
Reduced levels of inventory
Introduction of Vendor Managed Inventory (VMI) initiatives
Stronger trading relationships with strategic/key supply partners
KPIs form a basis of a sustainable solution
Audited and tracked savings reported.
Risk Mitigation
Cash & Working Capital Optimisation
8. Many companies view TSM as the process of addressing the 20% of spend that sits outside of their
established procurement programmes
Tail Spend exists in all sized organisation in varying degrees. Traditionally viewed as only low value or
‘one off’ spend many businesses do not consider it to warrant attention.
Tail Spend exists through a culmination of a number of inter-related issues.
Low ROI – Resource v Reward
Fallout of Purchasing Programmes
Low Stakeholder Engagement
Maverick/Fragmented Spend
Poor P2P Processes
Low Value/One Off spend
Our Solution
We see TSM as the process that manages any spend that is unaddressed
Through the use of online technology and spend analytics we develop a single point solution that can
be easily tailored to meet the changing need of the business
This solution will be bespoke and will make it easier for the business to do business as well as
addressing the following:
Risk Mitigation
Control
Drive P2P compliance
Cost Savings
MI
Tail Spend Management
9. Vendor Boarding
PQQ Process – sift wheat from chaff – willing partners
Selection pool of prequalified suppliers – Risk Mitigation
Shift of resource back to supplier – Soft saving
Process compliance – P2P/Purchasing compliance
Supplier Portal
Preloaded deals – Cost savings/Ease of business
Online catalogues/price lists – Pre-agreed deals
Drive deal compliance – Cost saving/Cash Management
Single point reference – Ease of business
PCard programme - Cost saving/Cash Management
Improved MI – Data capture
Process improvement – P2P/Purchasing compliance
Tail Spend Management
10. For further information of our bespoke, flexible and cost efficient
services or if you just fancy an informal chat to talk about any
issues that you may be experiencing then please do not hesitate to
contact us.
Richard Biddulph – Managing Consultant
07545 251334