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Optimized temporary employment model
Strategic choice of service provider for Lanxess
Together with valantic, Lanxess implemented a new temporary employment model and achieved a seven-figure savings potential – thanks to recourse analyses, benchmarking and targeted negotiations. The previous master vendor was replaced by a preferred supplier pool.
About the company
Lanxess is a leading specialty chemicals group with over 19,200 employees in 25 countries. As part of a four-month project with valantic, the procurement model for temporary employment services was strategically realigned.
The project
The challenge
In the area of temporary employment services, there was a need to optimize supplier selection, billing transparency and cost structure. The existing system did not provide a sufficient basis for sustainable savings. The aim was to identify potential savings, examine legally robust claims and improve the strategic management of the supplier portfolio.
Consulting approach
1. Analysis and regression review
- Comparison of actual and target settlements to uncover unused recourse potential
- Identification of a three-year claim and derivation of legally compliant recommendations for action
2.Benchmarking and tendering
- Implementation of an external benchmark for market price validation and optimization of factors
- Derivation of specific recommendations for improving the supplier pool and the tendering process
3. Supplier selection and model transition
- Evaluation of over 80 offers
- Conducting more than 20 negotiations
- Separation of existing suppliers and change from the Master Vendor model to the Preferred Supplier Pool
Solutions & results in detail
Within four months, Lanxess realized a seven-digit savings potential in the addressable procurement volume. This was made possible by well-founded recourse analyses, benchmarking and a structured tendering process. This resulted in an efficient group of suppliers. The new model, which focuses on a preferred supplier pool, replaces the master vendor principle and creates more transparency and room for negotiation.
Conclusion
With valantic, Lanxess strategically realigned its external personnel recruitment. The focus is now on clear controllability, flexible supplier selection and permanently improved profitability in temporary staffing management.
Your contacts
Florian Holzmann
Partner & Managing Director
valantic
- Supply Chain Management
- Purchasing
- Sustainability
- Operational DD
Gereon Küpper
Partner
valantic
- Supply chain optimization
- Chemical industry
- Digitalization
- Software selection