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Business service strategy for global petrochemical manufacturer and distributor 

Our Task:

 

To deliver a business service and  outsourcing strategy & outsourcing service procurement for a leading global petrochemical manufacturer and distributor with 4 billion USD revenue who was facing a steep cost increase from their current service provider for their outsourced services

Our Approach

 

  • Identified client’s business challenges / processes and mapped to client’s outsourced services in scope (HR, Finance, Supply Chain, Customer Service, Procurement, EHS and IT)
  • Develop outsourcing strategy for business support service and design shared service outsourcing model
  • Developed comprehensive RFI/RfP  document and  conducted best practice RfI and RfP process
  • Supported Vendor proposal evaluation and total cost of ownership calculation
  • Provided contract negotiation guide-lines and supported negotiations

 

Our Impact

  • Selected service provider and signed letter of intend within less then 6 months from the start of the project
  • The new service agreement contract provides a total cost saving of more than 50% compared to the client’s expected cost increase by the previous service provider.
  • The impacted cost base of the contract was about 100 million USD over a 5 year contract duration

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