Procurement Strategy saves over £500,000 per annum for Anthony Nolan
With an external spend of over £6million, in a turnover of around £30million, Anthony Nolan, a very successful charity whose mission is saving lives, identified the procurement of services and supplies as a potential opportunity to make significant savings that could contribute to its mission.
Following proposals from Verve Consulting, and satisfied with Verve’s procurement credentials, Anthony Nolan appointed Verve for a first phase trial project. Alan How, Finance & Resources Director, explains: “We know Verve well, trust them and like their outcomes. We decided to engage Verve for a trial procurement project with the assurance that the cost of the project would be covered by savings made, or the charges for the project would be reduced.”
Having identified in the trial that savings were possible and achievable, and with the price of the first phase covered by quick-win cost savings, Anthony Nolan awarded Verve a six-month strategic consulting project to implement the procurement plan.
In the implementation phase Verve systematically applied procurement techniques to the areas where the greatest possible savings had been identified. Verve established relationships with all the key stakeholders responsible for buying the services and materials in the scope of the procurement plan, ran workshops with the in-house teams to pull together a coherent approach to the potential suppliers of each of the services or materials, allocated clear responsibilities for specific suppliers, set up tender processes, and negotiated with suppliers. The implementation of the plan has led to the successful delivery of annual savings of over £500,000.
Alan How continues, “Verve has delivered an extremely successful project for Anthony Nolan. The result is a large annual cost saving that allows us to expand our services and help Anthony Nolan to achieve our goal of doubling the number of lives to whom we give the chance of life.”
Summing up Verve Consulting’s overall contribution to the procurement strategy, Alan added, “Verve brings a maturity of approach and a high level of professionalism that has achieved successful outcomes within a contained cost, which is extremely important for a charity like Anthony Nolan.”
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