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CLIENT CASE STUDY


Vodafone eSourcing: A single technology platform for global supply chain excellence

Accenture worked closely with Vodafone’s global supply chain organisation, OneSCM, on technology and business transformation initiatives to enable adoption of end-to-end online sourcing activities.

Overview

Vodafone now operates in over 30 countries and has network partnerships in another 50, serving over 400 million customers around the world. Supporting and growing its global customer base in an intensely competitive and fast changing environment depends heavily on Vodafone’s ability to source the right technology and services.

Learn more about the Vodafone EVO business transformation programme.

Opportunity

Already recognised as a leader in sourcing and procurement, Vodafone’s senior management understood that to respond to both external market changes and internal developments, centralisation to a central platform would become increasingly important. Creating a more agile, responsive and efficient procurement function, with greater automation, would allow Vodafone’s supply chain professionals to focus on strategic planning and value-adding activities and enable Vodafone to achieve recognition as the world’s leading supply chain organisation.

Solution

Accenture worked closely with Vodafone’s global supply chain organisation, OneSCM, to envision, design and deliver technology and business transformation initiatives to enable adoption of end-to-end online sourcing activities on a single technology platform.

Accenture worked with Vodafone to identify specific areas for improvement and the initiatives to address them. These were aligned with the key executive imperatives that the new organisation and its capabilities would need to deliver.

The principal functional areas implemented in the new system addressed Category Management, Saving Methodology, eSourcing and Contract Management. Embedding the tools and capabilities for sourcing projects into the system enabled a shift from what had been more ad-hoc execution of RFP production and management, to a highly visible and centrally managed process. This brought savings tracking visibly into the system with contracting and associated activities also now residing directly within the SAP system.

Accenture ran extensive change management activities to drive user adoption and secure senior executive buy in. Accenture trained the entire supply chain organisation in a totally new toolset that for the first time made the whole sourcing governance process available online. Accenture also created focus groups and working groups to establish how the governance would work in practice.

Results

Creating a single Category Management system and driving adoption through a concerted change management programme has delivered broad benefits. System users now have a single, streamlined online tool that, among other advantages, helps them respond faster, work with greater agility and collaborate more effectively with suppliers and other stakeholders.

Key performance metrics have all hit or exceeded the targets set for them:

  • Spend on contract has more than doubled from 30 percent to 65 percent

  • The use of eSourcing has more than tripled since the system went live

  • Sourcing cycle times have also decreased substantially

  • The use of project management to support sourcing activities has grown from less than 15 percent of projects in the past to more than three- quarters

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