SUCCESS STORY

Up to 54% category savings

Optimising Indirect Spend for a Leading Food Manufacturer

  • Delivering category-specific savings and stronger supplier management

Outcomes

54% COST SAVING (LABELS)
Through competitive tendering and improved service terms
14.8% COST REDUCTION (LAB TESTING)
New supplier improved value and compliance standards
OPERATIONAL EFFICIENCY
Renegotiated PPE contract terms, improving flexibility and cost control

BACKGROUND

Our client is a privately owned, family-run UK-based food manufacturing company specialising in premium meat products for the foodservice and retail sectors.
With international backing, the business focuses on quality, consistency, and customer service, supplying pubs, restaurants, hotels, supermarkets, and catering outlets across the UK and Europe.

the challenge

Operating as a group of distinct companies and sites, the client had limited centralised procurement, resulting in supplier duplication and inconsistent pricing. EBIT was asked to review indirect spend across multiple categories to identify opportunities for consolidation and efficiency improvements.

SOLUTION

Following a comprehensive spend and contract review, EBIT focused on four priority categories – packaging, labels, lab testing, and PPE – to deliver value through improved sourcing and supplier management.

Labels

  • Conducted a full market tender to evaluate competitive offerings and benchmark pricing
  • Selected a new supplier with optimised pricing and enhanced service terms
  • Delivered a 54% saving against the incumbent supplier and improved payment terms

Lab Testing

  • Performed a benchmarking exercise to assess market rates for testing services
  • Transitioned to a new supplier offering improved value and higher compliance standards
  • Achieved a 14.8% saving while maintaining service quality

PPE

  • Reviewed usage across multiple sites to ensure spend reflected actual demand

  • Renegotiated terms with the incumbent supplier for greater flexibility and better pricing

  • Delivered additional savings and operational efficiencies through a rightsized contract structure

EB104

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