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Electrical Work

Supply chain improvement

Overdue orders were creating major cash flow problems and management had lost focus.

Our client is from a contract engineering-type background and has operated successfully as an independent business since the 1930's.  The company is seen as a market leader and supplies products to some of the World's top names.  Following a period of sustained growth, it became evident that inefficiencies in the supply chain were resulting in customers being consistently let-down by late deliveries.  Cash flow was also suffering as a result of outstanding orders at the month end that could not be invoiced.


We were asked to examine all aspects of the supply chain, from order input through to despatch and to recommend a course of action that would reduce or eliminate the problem.  Also, to implement controls and KPI's to ensure that the situation could be effectively monitored to prevent a re-occurrence of the problem in the future.

Having involved key staff throughout the process, including a number of suppliers, our findings contained 36 recommendations that spanned seven parts of the supply chain - ALL of which were adopted.  We also provided an action plan and consultancy input to ensure that the recommendations became reality.  In terms of savings, there was a productivity gain of 10% in relation to clerical effort, in conjunction with a reduction of £500,000 in working capital - essentially, this was money that quickly filtered through to the bank account.  The project was completed within the agreed time-scale and fee structure.

MANAGING DIRECTOR - "We have never used Consultants in the past and spoke to a great number of them about our project - but we made the right choice in selecting you."

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