SUCCESS STORY
15% cost base reduction
Reducing costs and managing procurement at a global logistics provider
- Smarter procurement for cost control, and ESG impact
Outcomes
cost reduction
15% cost reduction across all spend areas
contract management
Established structured review to drive supplier performance
ESG alignment
Sustainability embedded into procurement decisions & supplier engagement
service extensions
P4’s Procurement as a Service model expanded across organisation
BACKGROUND
Our client is a global logistics provider offering integrated services across sea, air, and road logistics, as well as warehousing and 4PL (Fourth-Party Logistics) solutions.
Following leadership changes and vacancies within the procurement team, the company had limited capacity to manage operational procurement and drive strategic improvements. High-value spend areas lacked focus, and support for wider business initiatives had stalled. There was also no clear framework in place to guide sourcing decisions or engage stakeholders around long-term value.
the challenge
With a small and overstretched procurement function, the chain faced the challenge of delivering significant cost reductions without compromising its supplier relationships or well-established brand standards. The business had little previous experience with external consultants, so gaining trust and buy-in across teams was essential. Resistance to change and the need for a collaborative, stakeholder-friendly approach added further complexity.
SOLUTION
Procure4 provided Procurement as a Service to manage day-to-day procurement activity while also delivering targeted cost savings. The approach combined immediate operational delivery with longer-term strategic improvements, all shaped in collaboration with internal stakeholders and aligned to the company’s ESG priorities.
- Creating a detailed spend cube to map category ownership and supplier relationships
- Co-developing category strategies with cross-functional teams
- Running sourcing events including e-auctions and supplier sampling
- Embedding ESG criteria into procurement processes and decisions
P4105
The Procure4 team has integrated into the business, quickly building trust with key stakeholders and our in-house procurement team.
Head of Procurement