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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
CIPS PAN AFRICAN CONFERENCE GHANA 22 MAY 2013
Presented by: Nat Maelane
Evolution of role : Who are we?
- Money drainer?
- Necessary evil?
- Servant?
- Partner?
- Value-add partner?
CIPS PAN AFRICAN CONFERENCE GHANA 22 MAY 2013 Presented by: Nat - - PowerPoint PPT Presentation
CIPS PAN AFRICAN CONFERENCE GHANA 22 MAY 2013 Presented by: Nat - - PowerPoint PPT Presentation
CIPS PAN AFRICAN CONFERENCE GHANA 22 MAY 2013 Presented by: Nat Maelane Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013 Towards procurement innovative value-add Evolution of role : Who are we? Money drainer? Necessary evil?
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
What is the anchor?
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
S T R A T E Y G
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
What are enablers?
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
ENABLERS
S T R A T E Y G
Skills Processes Systems
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Levers of value-add?
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
ENABLERS
S T R A T E Y G
Skills Processes Systems
Organizational Alignment
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Decentralised to Core business focussed shared services model
Regional Procurement
Business Partnership (regional hub & unit- Inland & Coastal) COE (professional & specialised service) (RHO) Shared service (transaction & professional) (Onsite – Mill) Outsourcing & Retainers
Service delivery as per service compact
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
ENABLERS
S T R A T E Y G
Skills Processes Systems
Organizational Alignment Revenue Improvement
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Sappi Group Usage & Market User Segments
Towards procurement innovative value-add
Alfeld 3% Biberist 0% Ehingen 3% Gratkorn 7% Kirkniemi 1% Lanaken 2% Maastricht 0% Nijmegen 0% Stockstadt 5% Saiccor 29% Stanger 13% Enstra 7% Tugela 2% Ngodwana 5% Somerset 13% Cloquet 10%
Sappi Global Caustic Soda Usage 142,000 tonnes
Inorganic Chemicals , 25% Pulp & Paper, 23% Organic Chemicals , 14% Soaps/Det ergents, 10% Propylene Oxide, 8% Alumina, 3% Water Treatment , 3% Textile, 3% Others, 10%
User Segments
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Pulping Chemicals : Sourcing & trading
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Caustic soda South African Market: Sourcing to trading
Importers 22% Sasol Polymers 49% NCP 24% Mondi (own use) 5%
Total market size = 367kt (100%)
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
74 30 20 16
53% 21% 14% 11%
Sappi Mondi Unilever Others
Caustic Soda 2011/12 Imports in kilo DMT
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
Towards procurement innovative value-add
ENABLERS
S T R A T E Y G
Skills Processes Systems
Organizational Alignment Revenue Improvement Working Capital (Cash)
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013
SAP Mills Stores Catalogue
MATERIAL MASTERS PROJECT
XContent Implementation Material Masters Clean-up Fast Movers & Top 200 TOTAL 59 000 Material Masters Clean-up All other items TOTAL 24 000 Duplicate Resolution Working Capital Optimisation
ROADMAP FOR POSITIVE CONTRIBUTION TO SAPPI’S FINANCIAL SUCCESS PROJECTS DELIVERING THE MATERIAL MASTERS ROADMAP:
✔ ✔ ✔
To effectively contribute to the financial success of Sappi through the implementation of systems, standards and processes that will enable effective inventory management and the optimisation of working capital.
Towards procurement innovative value-add
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- OUTCOMES
>Efficient & responsive organization >Procurement savings of $10m >Sundry revenue contribution of $5m >Working capital cost avoidance of $5m >Inventory reduction target of $10m
Towards procurement innovative value-add
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Sappi/Nat Maelane/CIPS Ghana Conference/22 May 2013