The Procurement process is just another process to improve
Manufacturing processes are reviewed to improve efficiency, reduce waste and optimize productivity. The office and procurement process for the thousands of supplies has been overlooked until now.
Like Lean Manufacturing, the Lean Procurement strategy focuses on eliminating waste in the procurement process for thousands of supplies.
The procurement of low value supplies is a lopsided process. 80% of procurement time is spent on supplies that cost just 20% of the total procurement dollars. The process of supplies has too many steps, takes too long and has little accountability.
The Lean Procurement strategy fixes the process
The Lean Procurement strategy identifies and eliminates redundant and non-value added steps in the process of procuring industrial and office supplies. Thousands of high velocity low value items are ordered over and over every day.
Similar to Lean Manufacturing, the process is reviewed, data is gathered, employees are invited to give input and a value stream map is created to illustrate all the steps in the current process. This way, a new process is created, consensus is created and the new process is implemented. Then, results are measured.
The Lean Procurement team develops the expertise to implement a new future state.