Case Study: a Fortune 500 consumer product goods manufacturer reduces packaging costs and improves supplier reliability with GEP

Sourcing Cost Reduction Through Integrated Planning

GEP partnered with a Fortune 500 consumer product goods manufacturer to address challenges with its packaging materials category, which was experiencing increasing costs and supply disruptions that impacted production and margins. The client sought GEP's category sourcing and management expertise to reduce overall costs and enhance supplier reliability.

GEP recommended integrating ERP systems for better production planning synchronization and advised on a rationalization drive to simplify packing material specifications. They also suggested joint raw material sourcing with key suppliers. As a result, GEP's solution identified cost-saving opportunities of over 15%, and on-time delivery metrics for suppliers dramatically improved from 55% to over 75% within six months.