Sourcing strategy for tier-one automotive parts supplier
A Tier 1 auto parts supplier wanted to develop and implement a new sourcing strategy.
Strategy& identified global sourcing volume by commodities, sub-commodities, regions, and suppliers. The team then developed strategic sourcing recommendations for commodities, identified strategic suppliers to improve utilization and reduce part costs, defined potential consolidation candidates to reduce number of suppliers, and identified low-cost-country sourcing opportunities. As a result, the client achieved total cost savings of more than $150 million.