The red thread to good core services can be structured simply: analysis of the processes which could potentially be handled in the SSC in their entirety, selection of the services in and out of scope, process redesign to achieve best-in-class processes for the core services, definition of interfaces and service levels/service descriptions, determination of performance indicators (KPI set), adaptation of the IT systems, planning and reorientation of the organization, training of the core services, change management, continuous improvement process.

In summary, it can be stated that the establishment of a SSC for operational procurement is predestined to serve as a centralized, middle-term measure for raising overall purchasing efficiency. It is especially useful for midsize to large, more decentrally structured companies or for organizations which have grown through acquisitions. Besides the bundling effect, the efficiency lever „harmonization of the process landscape“ has an especially great impact. If carefully prepared, the project can be realized in a little more than a year while increasing efficiency by as much as 30%.

Efficiency or customer orientation? Global leaders achieve both!

The SSC has barely been successfully implemented when loud criticism is frequently heard: „Efficiency performance indicators are great, but everything still used to be better!“ Statements of this kind are understandable during the transformation processes; when a SSC „Operational Procurement“ is established, they are generally related to inadequate customer orientation. During our everyday project work, we have heard internal comments from customers of the purchasing department such as this: „I used to be able to call Mr. Smith whenever I needed to talk about my POR* – now it‘s a different person every time I ask for advice.“ The discussion degenerates all too quickly to the trite level of „efficiency or customer orientation – both are not possible“. Global leaders turn these contradictions back onto their feet and use the strengths of the new organizational form for both increasing efficiency and raising customer orientation.

The selected project examples below show how this can be done successfully.