Case Study: a $1.2 billion footwear and apparel firm achieves $4 million in savings with GEP Nexxe

Large Footwear and Apparel Firm - Customer Case Study

GEP Nexxe partnered with a large footwear and apparel firm based in Michigan, a $1.2 billion company facing challenges from an excessively large supply base, unleveraged spend, and inferior service levels. Coming out of the 2008 recession, the customer sought to correct these issues and drive bottom-line savings by gaining control of its near $300 million procurement spend.

To address this, GEP Nexxe implemented a five-year strategic sourcing and technology program. The solution involved consolidating the supply base, increasing spend transparency, and deploying their RFx tool to isolate key cost-drivers and run live auction events. In just the first six months, GEP Nexxe helped the client realize $4 million in savings, putting them on track to achieve $14 million in the first year and a projected $37.5 million over the life of the program.