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Sourcing and Procurement

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A better plan to procure better

Natalie Johnson, Sourcing and Procurement Supervisor at a leading global mining corporation, was grappling with rising cost pressures and operational risks tied to an incumbent propane supply contract supporting her mill operations. Troubled with pricing misalignment issues, limited responsiveness, and heavy dependency on a single vendor, she turned to long standing partners Infosys BPM for support. This case details how Infosys BPM transformed the sourcing strategy, developed a pricing model, and onboarded a new supplier, resulting in 28% cost optimisation, $1.5 million in savings, and improved supply chain efficiency.

Approach summary:

  • Consolidated propane demand data
  • Created demand volume estimate
  • Prepared a detailed price model
  • Drafted and sent out formal RFP
  • Engaged in structured supplier negotiations

Key benefits:

28% cost optimisation achieved
$1.5 million in savings
Supplier performance improved
Operational efficiency enhanced

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