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200 Suppliers. No Metrics. No Strategy. Here Is How We Built a Roadmap to 3% Annual Savings.

  • Writer: Mike Johnstone
    Mike Johnstone
  • Jul 13
  • 2 min read

Updated: 6 days ago

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Supply Chain Assessment and Roadmap

Industry: Metal Fabrication | Client: Custom Metal Fabrication Company


Situation


The supply chain was running, but it was not working.


This custom metal fabricator had over 200 active suppliers. No scorecards. No quarterly business reviews. No strategic sourcing process. Buyers spent their days chasing purchase orders and resolving invoices instead of negotiating with suppliers.


Leadership knew costs were too high. They did not know where to start.


There was no data to drive decisions. No structure to drive accountability. Supplier relationships were transactional at best. The company was leaving money on the table every quarter and did not have the visibility to see how much.




Actions


We started with a comprehensive supply chain review.


We assessed the supplier base, mapped spend categories, and identified where the most cost and risk were concentrated. The picture that emerged was clear: too many suppliers, too little leverage, and buyers too busy with admin to use the leverage they had.


From there, we built the roadmap.


We recommended consolidating the supplier base to increase volume leverage and reduce relationship overhead. We introduced a cost reduction framework, including structured supplier cost-reduction meetings and competitive quoting on key categories.


We proposed a metrics system covering safety, quality, service, and cost - tracked consistently and reviewed in quarterly business meetings with top suppliers. We also defined a new operating structure for the procurement team: Buyer-Planners managing day-to-day, Analysts tracking performance data, and Purchasing Managers leading supplier strategy.


The goal was to shift buyers from administrators to negotiators.



Results


The assessment delivered a clear picture and a concrete plan.


- Defined a roadmap to reduce supply chain cost by 3% annually

- Structured operating model with clear roles for Buyer-Planners, Analysts, and Purchasing Managers

- Supplier consolidation strategy to increase leverage and reduce risk

- Metrics framework across safety, quality, service, and cost

- Foundation for quarterly business reviews with strategic suppliers


The company went from no visibility to a defined path forward. Cost reduction stopped being a hope and became a process.




What This Means for You


If your buyers are doing admin instead of negotiating, you are not getting the value your procurement team could deliver.


A supply chain assessment costs far less than the savings it uncovers. We have done this work before. We can do it for you.


Every engagement starts with a free 30-minute call. You tell us where your supply chain is underperforming. We tell you exactly where to start.


No pitch. No obligation. Money-back guarantee if we do not deliver results in six months.






Is this a problem in your plant right now?

I work with mid-size manufacturers to cut costs, improve cash flow, and reduce supply chain risk - with results in 90 days and a money-back guarantee.

 

Book a free 30-minute audit and I will tell you exactly where to start.

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