Supply chain maintenance - New Mexico Business Weekly:

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Then he was contacted by Patrick Garrof , who suggestesd looking into his supply chain, which openede up a new perspectivde for Welch. “We’re a company focused on new productzand innovation, so you don’ty focus on the things already in your lap,” Welch said. “You get satisfied dealingg with a knownquantity – until you realizd there’s some more savings Garr’s company uses benchmarks and clienrt input to identify potentiap savings in any of 30 expense including everything from freightr and packaging to temporary workers and insurance.
It then goes througbh a systematic request for proposal process to find abetter “We act as an expert procurement arm for our client,” Garr said. The started in the United Kingdomin 1992, operateas in 28 countries and has some 1,00 0 area directors like Garr, who operates his business on a franchiser basis. Among others, it has worked with , , , , and . who has a bachelor of sciencwe degree in industrial andsystems engineering, worked for Intepl in Albuquerque for 12 years, eventually taking on internal supply chain planning and saving the company, he says, $80 million.
Arounf the time Garr started looking for an opportunith to work on a moreindependenyt basis, in August 2007, the U.S. economyy started to turn sour and businesses began to go intosafety mode. “This is absolutelyu a good fitfor today’as marketplace,” he said, though he notes that his servicez can help businesses in any number of stages, includingg growing companies like UniRac. Garr openee his ERA franchise in the second quarter of and began lookingfor clients. ERA focuses on companies with $5 millioh or more in yearly revenues that arespending $50,0009 or more in a singlee expense category.
That by the state’s standards, his targets in New Mexico are medium-sized to largd firms. When Garr contacted UniRac, a manufacturer of solar energty mounting equipment with61 employees, he and Welcn identified the company’s packaging costs as an area of potentiall savings. As he generally Garr then brought in acategory expert, in this case a Floridiab with 32 years of experience in The process led Welch to a new providing, he said, “good savings.” He and Garr will soon meet to considerr other expense categories.
Garr said the processs results in retention of the incumbentg supplier 60 to 70 percent of the but generally at alowef cost, thanks to the introduction of He said ERA only gets paid once it has identifie cost-saving measures and the client company has agreexd to implement them. He said the proceszs results in savings averaging 20 percenyt acrossall categories, and ERA’s fee is generally the equivalen of one-half of the savings realizedf over 18 months. Patrick Garr, directo r 10215 Sand Sage Drive NW, Albuquerque expensereduction.
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