Collaborate on a team with a plan
A plan, a timeline and a team make implementation succeed. The Lean Procurement team has an organized and well-documented implementation plan. There are simple assignments and a timeline. Executive support is vital.
The process for procuring industrial and business supplies can be radically redesigned to dramatically reduce costs.
The plan includes:
- Reaching a team consensus to optimize
- Creating a timeline
- Value Stream mapping the current process
- Collecting procurement data
- Unveiling the future process
- Benchmarking the previous spending level
- Multiple departments assigned their unique product lists
- Ordering responsibilities are set
- Lean Procurement team provides training
- Kickoff for first orders
- Continuous training
Executive commitment is vital for the success of the Lean Procurement implementation
It’s not just about continuous improvement: it’s a rethinking and redesign of the existing procurement process for radical improvements and dramatic results. Executive support and commitment are vital to the success of this improvement process.
Eliminating bureaucracy requires the boss. The upper executive removes red tape.
One person in the right position who is against the project can completely foil it. The slightest changes can upset some individuals. The executive sends the clear message that change is going to happen and the complete team needs to agree and support the effort.
Getting all the fish to swim in the same direction streamlines the implementation process. Trivial distractions can sink the progress. Some old long-term relationships may have to be terminated.
It’s a powerful solution. The team does the heavy lifting for you.
Establishing accountability is a key element in Lean Procurement and necessary for the team to acknowledge success
Simple performance statistics and scheduled business reviews with the Lean Procurement team delivers the required statics. The team needs a clear understanding of the true savings in time and money spent.
The Lean Procurement strategy incorporates and fixes accountability on all participants. Reports and automated statistics are easily accessible.
Measurement is the only way to prove success.