Group Purchasing Case Study
Electrical Wholesale Services – Cannock Sites
At the Cannock sites a long-established dual source arrangement was in place for the supply of electrical wholesale service which was probably in need of major overhaul; the levels of service were a bit erratic which was having a major impact on the site operations.
Group Purchasing approached ERF who undertook a site survey and proposed a competitive way to improve costs and levels of service.
After a specific site trial all sites at Cannock were transferred to a single source arrangement with ERF and their performance on price, quality and service levels closely monitored.
Many low-energy opportunities have been identified due to the close working arrangement with the ERF engineers and savings have resulted from a better utilization of factory and warehouse lighting. Some of these recommendations have also been incorporated in marketing exhibition exercises.
As well as the significant cost savings developed with the help of ERF they have
- provided a stock holding of special maintenance items;
- have developed a showroom to test and set up energy saving lighting solutions;
- have provided a dedicated lighting engineer which the Cannock businesses have full access to;
- prepared marketing schemes for Durapipe & GPS exhibitions; and,
- moved to payment by Purchasing card