Supply Management Consulting

More and more in today’s global economy, organizations compete through their supply chains. Traditional supply chain thinking addressed the flow of raw materials and components through the production process to where finished goods were delivered to the end customer. But current supply chain models have expanded to include information and data flows for demand forecasting, production, and inventory; forward and reverse logistics; lead-time and delivery systems optimization; supplier quality management; as well as other factors affecting the competitiveness of the overall value chain.

Mohawk Global Trade Advisors works with clients to develop the strategies, capabilities, plans, and capabilities to improve supply chain effectiveness and achieve Total Cost of Ownership (TCO) savings. These improvements often include transitioning from traditional transactional purchasing activities to more strategic supply management processes.

Our areas of expertise include:

Strategic Sourcing

From an operational standpoint, companies may face a variety of issues, such as

How can I reduce costs in my supply chain without hurting quality, delivery, and customer service?
How much supply chain cost reduction potential do I really have?
How do I tie supply chain cost reductions to business plan goals?
Do I have too many suppliers?
Do I have the best suppliers for meeting my unique needs?
Should I be buying these materials from low-cost, off-shore sources?
Should I be looking at e-sourcing solutions?

Strategic sourcing enables an organization to move from a purely tactical, transaction-based purchasing regime to a systematic, data-based procurement process. It reduces overall cost and strategically couples procurement activities to the organization’s overall business goals and processes. This includes

Process development
Opportunity analysis
Best-cost country sourcing strategy development

Mohawk Global Trade Advisors works with clients to develop the processes, plans, and tools that enable the organization to transition from a purely functional purchasing model to a truly dynamic and cost-effective supply management enterprise.

7-Step Sourcing Process

Using our proven 7-Step Sourcing Process as a foundation, we work with clients to customize a process that fits within the overall context of the client’s current operations and tools.

Step 1: Collect and analyze sourcing data
Step 2: Develop sourcing strategy
Step 3: Profile suppliers
Step 4: Manage RFP/auction process
Step 5: Evaluate proposals and select suppliers
Step 6: Implement sourcing agreements
Step 7: Continuous improvement and benchmarking

Benefits from this business process transformation typically include:

Material cost savings
Reduced cycle times and inventory costs
Reduced supplier management costs
More efficient supply chain logistics

Contact us today to get in touch with one of our strategic sourcing consultants.

Supplier Performance Management

How much value-added work should my suppliers be doing?
How do I measure supplier performance?
How do I manage supplier risk?

Successful procurement organizations are characterized by their ability to effectively manage the overall performance of their suppliers. Best practice companies typically segment their supplier base into relevant categories and establish meaningful supplier performance objectives for each category that support the business’s overall goals and objectives.

Once established, these supplier metrics should be tracked and managed using common, systematic data tools (scorecards, dashboards, etc.) to ensure consistent supplier performance.

Mohawk Global Trade Advisors works with clients to develop and implement supplier performance management programs that may include:

Supplier qualification
Supplier quality management plans and audits
Supplier performance improvement
Supplier risk analysis
Performance management systems
New source selection and qualification
Component and material specifications
Material controls
Design and Process Failure Modes and Effects Analysis (FMEA)
Failure reporting and corrective action

Contact us today to learn how your company can reap the benefits of supplier performance management programs.