Introduction of a Performance Management System

At a listed automotive supplier

q

Company Details

Manufacturer of high-value vehicle superstructures for log hauling, heavy hauling, airfield and public service vehicles
350 staff, 2 locations, ca. € 90 M in sales

p

Situation and Challenge

Extreme seller‘s market, suppliers working to capacity, purchasing team in part inexperienced
Long delivery periods, poor supplier reliability
Acute risk of materials shortages
Critical supply chain with high internal order situation

m

Objective and Tasks

Stabilizing and securing supply procurement
Prevention of extreme materials supply gaps and shortages
Coaching purchasing/procurement team and supporting purchasing managers

n

Measures and Approach

Close monitoring of critical suppliers, weekly prioritization, creating a network of 2nd source suppliers
Establishing risk management, identifying and evaluating dependencies, introducing management by relevant-areas-of-activity
Agreeing on clear targets with purchasers, coaching, leadership by close monitoring, frequent consultations

x

Results and Achievements

Quick relaxation of supply situation (reduction missing parts / critical suppliers)
Improved performance of purchasers, improvement of purchasers internal as well as external status
Reduction in trouble shooting