Land Optimisation

Client: Ministry of Defence
Value: £200k
Duration: 18 months

Project Overview
CPC was asked to undertake a project to optimise the procurement and management of the consumable inventory within ES (Land), the British Army’s equipment support division.

The project objective was to achieve cost reduction benefits through reducing asset holdings, primarily focussing on consumables. ES (Land) currently holds £3Bbn of spares of which £1.1bn are consumables, some 450’000 stock items.

CPC’s Role
Specific project objectives included:
• To work with client staff to produce integrated business/financial plans associated with supporting the asset base ranging from Tanks to Telecommunications equipment.
• To implement the new planning and control framework, integrate short term and strategic plans with budgets and non-financial performance measures and develop forecasting tools.
• To work as part of a multi-disciplinary team to assist client to interpret cost models underlying critical supplier partnerships and translate supply chain improvements into cost benefits.
• To work with client staff to build their capabilities and ensure sustainable change in an engineering and supply organisation.

Client Benefits
• £450m reduction in value of consumable inventory
• No effect on availability performance
• Embedded new procurement and provisioning processes
• Enabled support chain workforce to manage using best practice

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