Global MRO provider strengthens supplier partnerships

Client Challenge

The client faced several challenges:

• Incomplete role structure: Key supplier management roles lack clear definitions and alignment, hindering effective responsibility distribution.
• Governance and empowerment gaps: Insufficient frameworks for empowering strategic roles, limiting their impact on supplier relationships.
• Limited strategic collaboration: Supplier councils and strategic partnerships are not fully leveraged, reducing potential value from top-tier suppliers.

H&Z Approach

H&Z applied their deep expertise in strategic supplier management and organizational design to support the client in refining and implementing supplier management roles, particularly the key procurement position and the lead supplier manager. Collaborating closely with key stakeholders, H&Z led a structured process to define role responsibilities, establish governance frameworks, and create clear interfaces within the organization.

H&Z worked closely with the project team to thoroughly review existing processes, conduct cross-functional interviews, and integrate best practices from other industries. This collaborative approach laid a strong foundation for enhancing the client’s supplier management model. By refining role definitions, aligning governance structures, and ensuring clear internal interfaces, H&Z brought clarity and focus to the organization’s supplier management strategy. Additionally, H&Z defined selection criteria for key procurement roles and established governance frameworks for supplier councils, driving greater strategic value and supporting long-term procurement success.

Results

• Comprehensive definition and assignment of tasks and responsibilities across supplier management roles (RACI framework)
• Implemented procurement roles with detailed guidelines for governance, interface management, and onboarding
• Established Supplier Management Councils to enhance collaboration and decision-making processes

• Coherent KPI framework developed to align roles with data-driven decision-making

   

The project strengthened the client’s supplier management structure by formalizing roles and responsibilities, refining governance processes, and ensuring seamless integration across supplier and internal teams.

In collaboration with the client, the team redefined the way supplier management functions, introducing new councils to streamline decision-making and empower internal stakeholders. These changes, accompanied by formalized responsibilites and clear KPIs, elevated the procurement organization’s maturity and effectiveness.