Problem
Multinational and Global Organizations are always reviewing and reanalyzing their supply network, looking for synergies, economy of scales, efficiency and to reduce the total cost of ownership. Partnerships, alliances, mergers and acquisitions are common practices in those organizations and in order to optimize the supply network and avoid overlapping, they transfer production to other sites, increase capacity and/or shutdown production plants.
You are the global procurement manager of a Canadian pharmaceutical company and your organizations is planning to transfer 10 products from a recent acquisition in Germany. The manufacturing site is located in Frankfurt, Germany and plans are to transfer the production of 10 products to the Kentucky site in the U.S. Suppliers are all located in Europe and find new suppliers and make a smooth transition without disrupting the supply chain and avoiding stock outs are challenges. The Kentucky site does not produce similar products.
As a global procurement manager, what are your plans, strategies and actions to:
a) How to set priorities (procurement perspective)
b) Shift the production from Germany and U.S. and be supplied in the U.S. (procurement perspective)