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Warburtons SRM implementation rises to the occasion

Warburtons are the second most valuable grocery brand in Britain (AC Nielsen data) and employ over 5,000 people.

Family owned by the fifth generation of the Warburtons family, the company produces more than two million bakery products a day.

SEVEN has been working with Warburtons since 2006, and has completed a number of strategic projects that have helped them move from a localised supply model to a national one. In 2008, SEVEN worked alongside the business in delivering Project Aurora — an initiative that supported Warburtons long term purchasing strategy and new 5 year business plan. E-procurement was identified as key enabler to business benefit - creating efficiencies, driving purchasing compliance and enabling easier purchasing negotiation.

The primary purpose of project Aurora was to leverage Warburtons "Indirect" supplier base to deliver year on year measurable benefits for the organisation. The project was seen as a way to produce savings based on new catalogue based deals, to reduce maverick spend and to enforce procurement policy. Additional factors were the ability to capture and classify all spends, to reduce invoice only spend and improving process efficiency.

Project Aurora was delivered two months ahead of schedule, £50,000 under budget and delivered a return on its investment within 3 months. It also resulted in a reduction in Warburtons supplier base by 1,500, the creation of a new purchasing policy implemented to help reduce the number of new suppliers added to SAP ERP, implementation of XML ordering and invoicing enabled through the use of web based supplier catalogues, the creation of a reporting suite created to ensure that project benefits are tracked and delivered and the virtual removal of all maverick spend.

The success of Project Aurora was recognized when it was awarded second place in 2008’s Real IT Awards in the category “Delivering IT Value”.

The photo below shows the Aurora project manager from SEVEN, Shaun Condren, (far left) and members of the Warburtons project team at the Real IT Awards presentation ceremony at London in November 2008.