How a leading FMCG retailer centralized procurement and saved 10%+ in under 3 weeks - APSentra
Project overview

How a leading FMCG retailer centralized procurement and saved 10%+ in under 3 weeks

Industry
Retail & FMCG
Scale
50+ procurement users
Central office operations
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How a leading FMCG retailer centralized procurement and saved 10%+ in under 3 weeks

About the client

Our client is a well-known FMCG retail operator, widely regarded as one of the most innovative companies in its market. With an actively expanding network of stores, the business manages significant volumes of construction and fit-out works, personnel outsourcing, fixed asset procurement, and a wide range of operational goods and services, all procured for the network’s own needs, not for end consumers.

Despite having several universal management systems already in place, the company chose APSentra specifically for procurement management, recognizing that a dedicated procurement system would deliver capabilities and flexibility that general-purpose tools could not match.

How a Leading FMCG Retailer Centralized Procurement and Saved 10%+ in Under 3 Weeks

Challenge

The organization’s procurement operations had evolved organically as the retail network grew. What began as manageable, project-by-project sourcing became increasingly difficult to govern at scale. The core tension was familiar: decentralized decision-making was fast and flexible, but it came at the cost of transparency, consistency, and commercial leverage.

Several structural issues had emerged:

  • Tender processes were conducted inconsistently, with no standardized evaluation criteria across categories
  • Non-price factors, particularly important when procuring services such as staffing, cleaning, and construction, could not be formally captured or weighted in supplier assessments
  • High-risk & value Category A procurement relied on informal supplier relationships, exposing the business to unvetted contractors
  • Procurement activity was fragmented across the organization, limiting visibility for both management and finance
  • Centralization of purchasing decisions and spend data was a stated strategic priority, but there was no system infrastructure to support it

Key objectives the project was set up to address:

  • Automate tender processes for goods, services, and works
  • Introduce non-price evaluation criteria for service procurement
  • Establish a structured supplier accreditation program for Category A procurement
  • Centralize procurement governance and improve transparency
  • Build the foundation for category management practices across all procurement areas

Solution

We began with what the client described as a ‘classic’ automation engagement: implementing the Tender module to digitize and standardize the competitive sourcing process. What made this project distinctive was what happened next — having seen the platform’s flexibility in action, the client’s procurement team identified two additional capability needs specific to their business context. Both were delivered within the original project scope.

Tender automation

APSentra’s Tender module was configured for the full range of the client’s procurement categories: fixed assets, store equipment, building materials, construction and fit-out works, and personnel outsourcing. The platform provided a single, structured environment for managing competitive tenders from RFQ issuance through supplier response, evaluation, and award.

Non-price criteria evaluation

Because the client procures a significant volume of services, staffing, cleaning, and construction, the price alone is an inadequate selection criterion. APSentra was configured to support the formal assessment of non-price factors alongside commercial terms: service quality indicators, contractor experience, compliance history, and other qualitative criteria defined by the procurement team.

This was a platform-level customization that transformed how the client evaluated service suppliers — moving from informal, experience-based judgments to structured, auditable assessments that could be tracked and reviewed over time.

Category A supplier accreditation

The second tailored mini-project addressed the client’s exposure in high-value Category A procurement primarily construction works and major supplies. An accreditation workflow was configured within APSentra, enabling the client to:

  • Collect structured supplier information and qualification submissions
  • Run structured questionnaires and assessments against defined criteria
  • Score and rank prospective suppliers by category
  • Grant accredited status, enabling participation in closed tenders for Category A packages

This directly addressed one of the client’s most significant procurement risks: the possibility of awarding major construction subcontracts to unvetted or unreliable contractors. The accreditation program created a verified, pre-qualified supplier pool for the categories where performance risk is highest.

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Results

Procurement automation across key categories

Tender processes for fixed assets, store equipment, building materials, construction works, and personnel outsourcing were fully automated through APSentra, eliminating manual coordination and introducing consistent workflows across all category teams.

Structured service evaluation

Non-price criteria are now formally captured and weighted in every relevant tender, enabling fair, defensible comparisons across service suppliers. Procurement decisions in categories where quality and reliability matter as much as price are more rigorous, and easier to explain to internal stakeholders.

Verified supplier pool for Category A procurement

The accreditation program created a vetted database of qualified contractors for high-value construction and works categories. Closed tenders for Category A packages now draw only from pre-qualified suppliers, eliminating the risk of awarding major subcontracts to unknown or unreliable contractors.

Centralized procurement visibility

All procurement activity, tender history, supplier assessments, contract awards, and spend data — is consolidated in a single system. Management has a clear, current view of procurement activity across all categories and locations, with an audit trail that supports compliance and governance requirements.

Foundation for category management

Beyond the immediate operational improvements, the project established the data infrastructure and process discipline needed to develop category management practices across the business, a strategic objective that had previously lacked a systems foundation.

Business impact

The financial result, 10%+ savings, across selected procurement categories, including fixed assets and services, reflected the direct commercial impact of competitive tendering at scale. These figures cover only the categories included in the initial scope; the platform has since expanded to additional areas.

Beyond the numbers, the project delivered a change in how procurement is governed. Decisions that were previously made informally, across dispersed teams, are now made through a structured process with full documentation, consistent criteria, and centralized oversight. That shift, from fragmented execution to controlled governance, was the strategic outcome the business had been working toward.

The three-week implementation timeline demonstrated that meaningful procurement transformation does not require multi-year programs. Starting with a targeted scope, delivering measurable value quickly, and then expanding based on demonstrated results is a model that works, and that the client’s own journey illustrates clearly.

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