Procurement
CEMEX North Region buys industrial process valves and valve maintenance services for four cement plants (A–D). Spend is fragmented across plants with mixed specifications and multiple local suppliers. Contracts are expiring in 90 days. Unplanned downtime and inconsistent lead times have raised concerns in Operations.
Objectives for the next 12 months
• Move ≥ 80% of addressable spend under agreements and catalogs
• Reduce TCO by 8–10% while protecting quality and uptime
• Improve OTIF to ≥ 95% and cut emergency orders by 30%
Current suppliers
• S1 and S2: global OEMs with regional service teams
• S3: regional distributor with field service partners
• S4: local service firm with limited parts inventory
Supplier shares by plant (by valve $): A: S1 60%, S3 40%; B: S2 70%, S4 30%; C: S1 50%, S3 50%; D: S2 60%, S4 40%.
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