One of the greatest challenges entrepreneurs face every day is keeping a balance between prices and profitability. Often prices tend to decrease or remain the same as a result of different forces such as: consumers, competitors, regulations, commercial treaties and introduction of similar or generic products.

Thus companies that aim at maintaining and increasing their profitability must implement improvement plans for their costs; among which Procurement of Materials and Services stands out. For example, in the Pharmaceutical industry Costs of Materials and Services represent between 40% and 60% of the total cost of the Product, therefore its management is a critical factor for the success within the industry.

MVM Supply Consulting offers a solution for this area called STM (Sourcing Team Management) representing a business model for Procurement of Goods and Services targeting on maximizing the “Value” of the purchases. These standard methodologies allow companies to speed-up and improve their financial position at the same time they introduce innovation and improve the quality of the purchased goods.

Among the major benefits that can be highlighted in the implementation of Strategic Procurement Programs the most outstanding are:

Reduction in the company’s Total Cost of Materials and Services by up to 20%. Increase productivity of the Supply Chain as well as the Procurement cycle. Reduction of Procurement personnel by up to 25%. To accelerate the process of launching New Products (NPIs) Dramatic reduction of the supply base (up to 60%) Development of a reliable suppliers base (a minimum of 99% on the “correct deliveries the first time” rating Introduction of supply vendors innovations and technologies. To defend companies from potential increases by generating Market and Contract Intelligence.

Other solutions offered by MVM Supply Consulting in this field are:

• Procurement Master Plan
• Procurement Strategies
• Market Intelligence
• Negotiations
• Electronic Bidding
• Contract Creation and Management
• Supplier Management Programs Development