CASE STUDY

A Leading Mining Company Transformed Procurement Functions and Identified Savings of 35% Through Strategic Sourcing – A SpendEdge Success Story

Jan 14, 2019

Mining Industry Challenges

Mining companies over the past couple of years have experienced a tragic set back in terms of losses faced and low return on investments. With companies in the mining industry shifting from a manufacturing-based business model to a service-oriented business model, the need to identify potential value opportunities and make savvy deals has come to the forefront.

Over the last couple of years, commodity prices have reached both historic highs and lows, and with operational entities shifting irrevocably in the face of the digital revolution, demands for efficiency and strategic sourcing process have skyrocketed in the mining industry. However, new technology trends in the mining industry, especially in the form of new mining software, are offering exceptional opportunities to the companies who are ready to embrace digital technologies to boost efficiencies.

Improving procurement and adopting a sourcing process is a viable alternative for companies in the mining industry. Companies who adopt a strategic sourcing process can categorize and deploy the right sourcing strategy and negotiate favorable terms with suppliers.

Having a central repository for all sourcing information enables you to see the big pictureContact US in a simple way, allowing you to analyze risks, security, and pricing policies. A strategic sourcing process also avoids costly errors and reduces overall spending. Contact us to know more about the strategic sourcing best practices. 

Standardizing Procurement Processes and Identifying Procurement Trends with the Help of Strategic Sourcing 

The client is one of the fastest growing mining industry firms in the world and employs over 1500 professionals across various economies. The main objective of the mining company was to enhance value for stakeholders by discovering, acquiring, developing, producing, and marketing mineral resources profitably, especially in the segment dealing with coal production.

The Business Challenge 

The client, a renowned company in the mining industry with business operations spread across the globe, wanted to develop robust sourcing analysis capabilities across categories and geographies to enhance their visibility into spending and drive higher savings. Additionally, by identifying and adhering to strategic sourcing best practices, the mining industry firm wanted to analyze the procurement trends and implement procurement automation technologies to streamline their sourcing processes, increase savings, and boost transparency.

The client noted that their annual spend on logistics and sourcing activities was going overboard. This prompted them to adopt best practices to streamline their supply chain, warehouse management processes, and inbound and outbound transportation functions. To do so, the mining company collaborated with SpendEdge to leverage a strategic sourcing process to analyze the benefits of strategic sourcing in procurement.

To remain competitive and relevant in today’s dynamic market, it is necessary for miningrequest proposal companies to utilize the most beneficial strategies. Implementing an effective strategic sourcing process can make a tremendous difference in the supply chain of mining companies of all sizes. Request a FREE Proposal!

Solutions Delivered 

With the help of SpendEdge’s recommendations on the strategic sourcing best practices, the mining industry client deployed a comprehensive technology solution that integrated their end-to-end procurement process from source to contract. Additionally, to improve their existing strategic sourcing process, the mining industry client developed a best-practices methodology to reduce sourcing cycle time by creating a long-term interrogable repository of supplier responses and strategic sourcing process activities across business units.

By improving their strategic sourcing process, the mining industry client was able to take advantage of new opportunities, unforeseen circumstances, and changing market trends. Additionally, identifying the strategic sourcing best practices helped them to categorize and deploy the right sourcing strategy and negotiate favorable terms with suppliers. The devised strategic sourcing process helped the mining industry client to identify savings of 35%, compared to their current spend.

In an evolving global marketplace, using a strategic sourcing process to identify the best suppliers can help mining companies to maintain efficient and effective supply chains across all company divisions and partners. Request a FREE Demo below!

SE Demo

Recent Case Studies

Industries

Services

Getting Down To Business

We are offering Free Trials to all our customers or prospects who have been impacted positively or negatively by Covid-19 and are looking to connect with prospect buyers immediately.

Contact us

Sourcing and Procurement Market Intelligence Services

Products and Tools

Featured

Services Overview

Category Market Intelligence

Supply Market Analysis

Low-Cost/Best-Cost Country Sourcing

Benchmarking

Spend Analysis

Cost Modeling and Should-Cost Analysis

Total Cost of Ownership (TCO) Analysis

Supplier Risk Analysis

Supply Chain Risk Assessment

Supplier Sustainability Assessment

Commodity Price Forecasting

Category Management

Supplier Negotiations

Contract Management

Procurement Store

Purchase Ready-to-use Reports

SEinsightsTM

Our Robust Procurement Platform

BizVibeTM

Suppliers and Buyers Marketplace

SUPPLY MARKET ANALYSIS FOR A METAL MANUFACTURING COMPANY HELPS ACHIEVE ANNUAL SAVINGS OF $15 MILLION

Industries

Industries Overview

Automotive and Tire

Banking, Financial Services and Insurance

Biotechnology, Pharmaceutical and Life Sciences

Chemicals

Energy

Food and Beverage

Industrial and Manufacturing

ICT, Media and Entertainment

Mining, Metals and Minerals

Retail and CPG

Transportation

INCREASING LOCAL PROCUREMENT BY 28% FOR A COMPANY IN THE METALS AND MINING INDUSTRY – A CASE STUDY BY SPENDEDGE

Resources

Featured

Resources Overview

COVID-19 Resources

Blogs

Case Studies

Whitepapers

Webinars

Press Releases and Media Mentions

5 KEY CORONAVIRUS RISK ASSESSMENT STRATEGIES TO OVERCOME HEALTHCARE SUPPLY CHAIN CHALLENGES

IDENTIFYING STRATEGIC PURCHASING PRACTICES FOR A COMPANY IN THE US FOOD SERVICE INDUSTRY | SPENDEDGE’S LATEST SUCCESS STORY

COVID-19

Featured

Overview

Buyers

Diagnostic Test Kit

Additional Resources
Contact

A LOOK INTO THE FUTURE OF THE FOOD AND BEVERAGE INDUSTRY AFTER THE COVID-19 PANDEMIC

Identifying the Top 100 Coronavirus (COVID-19) Test Kit Manufacturers Across Regions

Clients

Featured

Clients Overview

Who We Serve

Case Studies

SUPPLY CHAIN MANAGEMENT HELPS AN IMPORT AND EXPORT INDUSTRY CLIENT ENHANCE SUPPLY CHAIN VISIBILITY

REALIZING SAVINGS OF $15 MILLION IN PACKAGING SPEND FOR AN FMCG CLIENT – PACKAGING SOURCING STRATEGY

About Us

News

About SpendEdge
Why SpendEdge?
Vision, Mission and Values
Clients
Social Impact
Global Offices

Press Releases and Media Mentions

Upcoming Events & Webinars