Tongaat Hulett, is a large diversified agricultural and agri-processing business with operations across 6 countries in Southern Africa. Procurement was decentralised resulting in an unstructured approach often quoted as a hindrance to business success.
Project Aim:
- Understand “As Is” state of procurement across all 6 countries
- Determine “To Be” state and identify structural, process & capability gaps and address
- Achieve significant cost and value benefit
Outcome:
- Initial cost improvement target of 4.6% of influenceable spend over 2 years was achieved within 12 months
- Category management & strategic sourcing process introduced
- Profile of procurement raised resulting in improved engagement with stakeholders
- Robust cost and value management process introduced – delivering significant cost savings and improved supplier value
- Upskilled purchasing team
- Automation of transactional purchasing achieving cost reduction
ADR Services Used:
- Consultancy/Advisory – delivery and support of Procurement Transformation project
- Instructor-led workshops
