Bottled butane and propane company Calor Gas stated last week that implementing a new e-procurement into the organization, the firm was able to establish a “cultural change,” while also reduce the supplier base and save money.
Calor Gas was beginning a process of channeling its £150 million annual indirect spend through the portal, beginning with the transport and engineering divisions, which represent around a third of transactions, group purchasing manager Kevin Wing told Supply Management. Wing added that the company is using the refresh its doing with the launch of the e-procurement portal as a vehicle to adopt cultural change within the business.
“It’s been cathartic because people’s understanding of the whole end-to-end purchase-to-pay cycle is better than it has ever been,” Wing told the news source. “My mantra is we want to create an environment where the easiest way of purchasing is actually the right way.”
The new process will also provide Calor gas with the ability to cut down on the number of suppliers that Calor currently deals with. Right now, the number is more than 2,000, but according to Wing, he hopes to “get that down to well under half.”
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