Satisfied customers thanks to smart optimization of procurement conditions

Smart procurement optimization is our mission – a mission that can only be sustained with highly satisfied clients. Therefore, read about a selection of our procurement optimization projects conducted over the last few years here:

Fewer costs, better results for comprehensive media placements

The company listed in the DAX30, LANXESS, wanted to get more out of the budget for its media planning. Consultants from HÖVELER HOLZMANN CONSULTING were commissioned to conduct the RFP to agencies while maintaining an overview of both quality and costs to an equal extent.

The project’s levers for success:

Close collaboration with the business unit »corporate communication«.
Deep/internal know-how of the special procurement market for media placements.
Elimination of the budget mindset at the media agencies in favor of a clear service/performance mentality. This took place by means of a request for proposal for an exemplary media plan without budget guidelines.
The consultants from HÖVELER HOLZMANN CONSULTING worked as mediators between the procurement department and corporate communication.

This is what Andreas Dickmann, Director Brand Strategy of LANXESS AG, says about the cooperation:

The project was marked by skepticism right from the start. We were sure we already had outstanding terms & conditions. However, during daily cooperation with the consultants from HÖVELER HOLZMANN CONSULTING, it quickly became clear that potential for optimization existed and we definitely had the right partner to realize it. And now, after project completion, we are also certain of having found a very outstanding partner for further projects.

Optimization steel procurement

This is what Mortimer Glinz, Director GHH Fahrzeuge GmbH, says about the cooperation:

HÖVELER HOLZMANN CONSULTING has been a role model for our company with respect to the preparation and implementation of the sourcing process. The single project steps have been worked on in a very efficient and professional way, so that the project itself has been a big success. For GHH the added value that was created by HÖVELER HOLZMANN was a new supplier and significant savings in the respective product field. We can highly recommend the service offered by HÖVELER HOLZMANN CONSULTING!

Restructuring of procurement organization

The medium-sized building supplier, ESSMANN, asked the consultants of HÖVELER HOLZMANN CONSULTING to set up a cross-locational realignment of procurement – in two respects: firstly, all German and international locations should accept and apply the procurement strategy and procurement organization to an equal extent and secondly, essential areas were to be interlinked in such a way that cost savings should be realized – despite the sky-rocketing prices for raw materials.

The project’s levers for success:

Smart reorganization of the procurement structure: Introduction of a lead buyer concept to bundle volume across locations and to foster the cooperation.
Not only was the standard repertoire of procurement optimization (price benchmarking, etc.) used; far more, a smart procurement strategy was deployed, among others, through optimization of specification.
Full backing by the executive board.

This is what Michael Kowalski, Managing Director of ESSMANN GmbH, says about the cooperation:

We aimed to achieve more than just savings with a short-term effect with this procurement project. Core focus right from the start was the objective of optimizing procurement in the context of the ESSMANN GROUP and to achieve sustainable improvements by realigning the organization and implementing a strategic sourcing process. We wanted to tackle this challenging task in cooperation with competent, team-oriented consultants who have a sustainability mindset. We have fully realized our project objectives with the consultants of HÖVELER HOLZMANN CONSULTING. Alongside short-term ideas for savings which were verified and implemented over the course of the project, the organization and procurement processes were also restructured and trained with the employees during a pilot project. For our employees and management, HÖVELER HOLZMANN CONSULTING is a competent and exceptionally professional advisor and shaper that ensured implementation of the results achieved with tremendous commitment.

Implementation of an international measurement system for savings

Deutsche Post DHL AG commissioned the consultants from HÖVELER HOLZMANN CONSULTING to establish a group-wide system to measure savings in procurement. This system was supposed to receive acceptance both in the own specialized department as well as in the responsible finance and controlling departments of Deutsche Post DHL AG.

The project’s levers for success:

Pragmatic and easy to comprehend concept.
Substantiation of the measurement of savings on a material group level.
Active involvement of the finance/controlling division right from day one.
Introduction of a structured coordination process with the specialized department in charge of the respective material group.
Consistent support thanks to precisely tailored tools.
Individual training of purchasers and controllers with regard to the concept and implementation.

This is what Volkmar Petrich, Head of Procurement Controlling at Deutsche Post DHL AG, says about the collaboration:

The profound know-how of the consultants from HÖVELER HOLZMANN CONSULTING and the result-oriented cooperation enabled us to ensure the seamless implementation and further development of the new concept. Right from the start, the consultants of HÖVELER HOLZMANN CONSULTING were welcome and strong sparring partners who knew how to ask the right questions at the right time.

Significant savings in packagings Heinrich Nölke GmbH & Co. KG

Heinrich Nölke GmbH & Co. KG planned to substantially reduce its packaging costs - despite increasing prices for raw materials. The consultants from HÖVELER HOLZMANN CONSULTING were asked to search for savings possibilities.

The project’s levers for success:

Consequent optimization of specifications and »streamlining« of the specifications to reduce the packaging costs.
Feedback of suppliers.
Close cooperation with marketing and sales/distribution with regard to subsequent buy-in of the measures.
Tests to verify the savings potential implementation capability.

This is what Frank Göbel, CEO of Heinrich Nölke GmbH & Co. KG, says about the cooperation:

Altogether, support by the consultants from HÖVELER HOLZMANN CONSULTING was very practically-oriented, whereby the overview of the necessary theoretical approaches was always maintained. The consultants convinced with their high professional competence and their outstandingly precise, results-oriented approach and a lively pragmatism.

Optimization of a general shareholders‘ meeting

The MDAX enterprise, Wacker Chemie, aimed to optimize costs for the general shareholders’ meeting. The consultants from HÖVELER HOLZMANN CONSULTING were assigned to conduct a potential analysis and a subsequent RFP of the main activities (event technology, set construction, location and catering) while maintaining a sharp overview of quality and costs to an equal extent.

The project’s levers for success:

Detailed benchmarking of the main activities
Critical analysis and revision of the specifications
Comprehensive knowledge of the "unwritten rules" of the trade procurement markets
Conducting a RFP among competitors with neutrally formulated specifications
Negotiation with the suppliers to check for quality aspects and to realize further savings

This is what Dr. Wolfgang Grellner, Director Corporate Development at Wacker Chemie AG, says about the cooperation:

WACKER primarily commissioned the consultants from HÖVELER HOLZMANN CONSULTING to critically analyze existing procurement documents, pinpoint options for improvement and to support negotiations with the potential service providers. The financial success estimated in the first step (under the strict condition of constantly high quality of the general shareholders’ meeting) that was achieved, and even surpassed in individual areas. In cooperation with those persons in charge at WACKER, the consultants from HÖVELER HOLZMANN CONSULTING successfully managed to significantly improve the conditions once again as opposed to the prior general shareholders’ meetings thanks to a skillful mix of conceptual considerations and operational measures. These improvements form the basis for corresponding events in the future. WACKER can unreservedly recommend HÖVELER HOLZMANN CONSULTING in connection with similar events.