Project Description

– A one year joint effort to design a new global way of working, find global synergies and build global teams and tools

Our client was a global Travel Retailer with operations in over 45 countries and a global market share of 15% at the time. With 21 800 shops and a revenue of close to 6 billion CHF, the COO needed assistance in developing and implementing a global procurement model focused on category management. Several management consultancies had tried and failed, when Bene Agere was given a shot based on our high focus on successful implementation. With a history of acquisitions and little focus on global consolidation, it was time to understand how to organize the procurement department to exploit global strengths

Ambitions for the project:

  • One global organization and five categories
  • Exploit global synergies
  • Specialization on key drivers of business
  • Enable future integrations

We designed the project in three phases, which served to make a complex and global change initiative effective and predictable

The results

  • One global category management organization based on key drivers of business
  • Global structures and tools taking control and following up performance on a global level
  • Significant increase of relations development but also negotiation power with global suppliers
  • Significant increase of 30-50% in sales of new products and special offers (promotions)
  • Clearly improved margins and more effective utilisation of global resources

“This is one of the best implementations we have seen” – HR director

Insights:

A training program is a good way to get people mobilized around the change and a good way to manage uncertainty around the process

In any global company cultural differences will play a part, making people aware of what they can expect and how to manage cultural differences is a way to reduce unnecessary friction

Having a new global organization meet physically to form the unofficial ways of communicating and following up is key to get the team up and running quickly