In the current global economic scenario, sourcing and procurement processes have assumed strategic operational significance for consumer packaged goods (CPG) companies. An overhaul of sourcing and procurement systems has the potential to entirely transform supply chains—consequently, sourcing strategy transformation and strategic procurement processes have become crucial factors in designing business strategies across several corporate segments, such as cost reduction, green initiatives, and risk mitigation.

Leveraged correctly, intelligent supply chains, driven by the best-in-class sourcing strategy, proves to be a major industry differentiator. Advanced sourcing tools such as e-Sourcing streamlines procurement processes and the larger supply chain by unifying multiple vendors and partners on one platform. By deploying strategic digital tools like e-Sourcing, firms can optimize their procurement management practices.

However, firms face a number of challenges when designing sourcing solutions and procurement processes that adopt sourcing best practices, in spite of advanced manufacturing infrastructure. To implement sourcing solutions that can sustain a seamless warehouse and inventory network, it is essential that they first create robust and collaborative supplier partnerships. While enterprises are coming to terms with rising production costs, they have to ensure that their sourcing strategy and procurement solutions ensure constant compliance with quality and ethical standards.

At HCL, our sourcing solutions and procurement solutions are geared for tangible outcomes for global CPG enterprises—facilitating cost reduction up to 50 percent as well as significant cycle time reductions by reimagining their sourcing and procurement processes. Our “Advisory & Execution” framework for supply chain transformation enables business process overhaul, and significant savings in warehousing and costs related to the procurement process. HCL’s sourcing solutions are augmented by a global team of domain experts, a blended-shore delivery model, and structured frameworks.

Our sourcing and procurement solutions generate transformational value for our partners with benchmarking services, production and supplier cost engineering, RFX management, solutions for contracting, negotiation and supplier relationships, and improving strategic procurement processes with e-Sourcing and Procure-to-Pay models. With HCL’s sourcing and procurement solutions, CPG firms can gain from a benchmarking-based approach to procurement management that ensures adherence to inter and intra-industry standards, and enhanced flexibility and responsiveness for supply chains. With our sourcing solutions and procurement solutions which include e-Sourcing, we have helped customers reduce direct spend by 5-15 percent, and indirect spend by 1-5 percent.

Serviceline Inner Thought Leadership Header: