Structured Rapid Sourcing Delivered Significant Savings To Mattress Manufacturer

Today’s rapidly changing economy has created immense challenges for manufacturers as supply markets are in flux.  Materials markets as sources of supply are contracting, slowing production or disappearing entirely.  The current circumstances dictate that competitive manufacturers embrace a structured rapid sourcing approach to ensure that their products remain competitive in the current deflationary environment. There are a number of success factors associated with Structured Rapid Sourcing which include: It is imperative to create a total cost model for the product to be supplied, including logistics and financing costs.  Creation of a complete and transparent cost model gives the suppliers the confidence necessary to quote competitively.It is imperative to understand the supplier’s cost structure for the products to be supplied.  Raw materials can represent anywhere from 10-70% of the ultimate sales price.  Understanding the supplier’s cost structure is integral to the creation of a valid total cost model.Raw material markets have highly variable degrees of transparency, ranging from highly transparent markets for publicly traded metals like copper to somewhat murky markets for less common metals like tungsten or certain plastics or electronic components.  When less transparent supplier commodity markets are involved, it is beneficial to go to the market on a more frequent basis.The buyer must have the ability to qualify multiple sources and to maintain those surveillances. Normally, qualifications should be established in advance of the negotiation to help manage risk and ensure that supply changes can be effected quickly, which increases the competitiveness of the market.  In the current environment, it is as important to manage risk as to achieve cost savings. MATTRESS MANUFACTURER CASE STUDY We recently... read more

Procurement Expert Joins OnDemand Resources to Further Support Client Growth and Engagement

OnDemand Resources, the leading provider of independent project and interim talent in strategic procurement, supply chain and operations is delighted to announce that David Brown has joined the firm. David is a highly experienced strategic procurement executive and consultant with significant experience supporting clients in their efforts to achieve exceptional results as they pursue cost reduction and efficiency improvement initiatives.   David will assume the role of Vice President, Client Services and will be responsible for business development and client support efforts. David is a former management consultant and procurement executive with extensive experience in strategic sourcing and outsourcing focusing on indirect categories. He brings broad knowledge of procurement functions including category management, organizational assessment/design, vendor management, contract management, vendor risk and P2P systems.   David started collaborating with OnDemand in 2006 when he embarked on his independent consulting career.  As an independent consultant, he led 20 projects in the US and Europe across multiple industries including financial services, consumer products, gaming, government, hotels, HVAC service, manufacturing, non-profit, retail products and transportation.    In addition to being an independent consultant, he was most recently VP Strategic Sourcing at Ameriprise Financial, where he led a team of 13 in the US and India supporting category and contract management in the Marketing, Real Estate, HR and Travel verticals. He also held positions as Manager of Sourcing & Category Management at ICG Commerce (now Accenture), and VP Global Sourcing at Deutsche Bank. He was a founding employee of Zeborg, a procurement technology and services startup, and a consultant with Mitchell Madison Group.   The combination of corporate, top tier and independent consulting background gives David a unique perspective on how to best create value and will serve clients well as he helps them to connect with top project and interim talent. David holds a Bachelor of Arts from... read more

Complex PMO Implementation Delivered Significant Benefits To National Client

OnDemand recently completed a complex, nation-wide multi-project PMO implementation effort that produced significant benefits to our client, a national collision center chain.  As we see the business complexity only increasing, having strong external partner to successfully deliver critical initiatives, especially in time of uncertainty is paramount.  The following case study highlights the capabilities we brought to this client – let us know how we can help your organization. Situation Overview: National collision center chain with over 350 locations, a portfolio company of a major PE firm was pursuing aggressive growth strategy.  Executive leadership identified a host of strategic projects fundamental to this objective.  The company tapped OnDemand partner Allen Rupple to provide PMO leadership to ensure implementation success of program initiatives. Key Focus Areas: Over the course of the engagement, Allen led several key projects and many internal delivery teams across the following areas: PRO MODEL – nationwide implementation of standardized 12-step repair operating model across all company locations.  Various internal teams were focused on implementing operating standards, store blueprinting, store facility prep, “to-be” process implementation and benefits tracking. CENTRAL ESTIMATING – co-location of a specialized group of estimators providing support to all locations.  This move enabled local store advisors to be much more customer-focused and was the key to significantly increase productivity.  CCC ONE REPAIR WORKFLOW – system-wide implementation of a new management system that streamlined the vehicle repair process to create a superior repair experience, strengthen relationship with insurance carriers and increase overall customer satisfaction.  The workflow provides a unified source and solution for the organization while eliminating many manual processes and duplicate entry/reconciliation required by multiple... read more

Remote Work – Setting Up For Success

This might be the first time that some of us work remotely. Sure, there are those occasional Fridays when remote work happened, but this is very different. A lot of us are forced to deliver in much more challenging conditions. Being ready and being effective remotely is important. As someone who has worked virtually since starting OnDemand Resources, and someone who recently prepped several consultants starting new roles at new clients virtually, I want to offer a few thoughts that you might find helpful, especially if this is the first time doing it, and especially for new clients – it is very important to start strong and make a great first impression. Make sure that you are available at all times during work hours – be very quick responding to emails, and, in case you miss a phone call from someone at the client, return it/respond very quickly – you want to create a sense that you are 110% engaged despite the fact that you are not on site.  This is especially important if you are new to the team, and don’t have existing relationships to draw upon.Be proactive in reaching out and introducing yourself to members of the client team, and key stakeholders.  This means to initially build a list of people that are key to your projects – proactively use your sponsor and others on the team to help you.  If you need additional help, use other consultants on the same project to help you navigate and get a sense of client’s culture, you are in this together.Create a dedicated work space – as much as you... read more

What Our Clients Are Telling Us

These are truly extraordinary times.  Every industry and every segment of society is being impacted like never before, and navigating this crisis will require extraordinary leadership, execution and support.  In our daily calls with clients, we hear first about their focus on keeping everyone in their organizations safe and healthy, but they have concerns about mitigating the impact of the crisis and planning for recovery.  The concerns most frequently shared can be grouped into three categories: Business ContinuitySupply Chain Risk MitigationCash Flow and Fast Procurement Savings Business continuity requires having the right team in place – on location, and virtually – to execute critical efforts, and maintain essential functions and services.  But it also calls for unique skills needed during this crisis. Supply chain risk mitigation as a strategic imperative has never been more important than today.  As with any crisis, this challenging time provides an opportunity to identify problem areas and develop plans and processes to mitigate them in the short term while planning for new paradigms in the mid- to long-term to reduce the impact of future disruptions.  Fast procurement savings will ensure that the business will continue to perform well, cash flow will be managed, and sacrifices will be shared across the value chain.  Companies and their suppliers will share common interest in making business work as everyone recovers; however, capturing savings quickly in this environment will require deep expertise in key procurement categories, and strong ability to execute. Since our start in 2003, we have worked with over 165 companies and organizations and help to deliver over 600 critical initiatives.  Our business model is based... read more

Recovering Today and Preparing For Tomorrow – Top 4 Things To Do For Your Supply Chain and Operational Readiness

There is no need to explain the impact of the current COVID-19 crisis on the lives of individuals, families, communities and companies around the world.  It is, in many ways, unprecedented, and certainly represents a once-in-a-generation challenge to us all. The outbreak has caught companies and some entire industries by surprise with sudden dramatic drops in demand, changes in customer behavior and general uncertainty.  Normal demand signals have disappeared, and the effect has rippled through the whole supply chain.  While remote work is possible for many, critical manufacturing and service jobs can’t be done “from home”, and even if they could, how would you know what to produce, or order and for how long?  As we all look to follow the public health guidelines to protect our families, friends and colleagues, business leaders can and must look to not only recover from this crisis, but to be ready for the next one.  We cannot predict the future, but we can learn from every experience and put ourselves in a better position next time.  Doing that is the hallmark of a “learning organization”, and the essence of proactive leadership.  So, how can businesses position their supply chains to be more flexible and resilient – more ready, if you will? There are several concrete actions businesses can take right now to prepare even as they recover: 1. Conduct a thorough assessment of all aspects of the supply chain – sunlight is the best disinfectant If recent events have taught us anything, it’s that speed + flexibility = resiliency.  In planning your assessment, consider all aspects of the supply chain.  If there... read more