Prueba
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%
Exhibit 1 — Demand and current spend (last 12 months)
Item Plant A Plant B Plant C Plant D Total
Standard valves (units) 1,200 1,000 900 900 4,000
Avg price per standard valve (USD) 1,900 1,850 1,800 1,950 –
Custom valves (units) 160 140 160 140 600
Avg price per custom valve (USD) 3,300 3,100 3,000 3,400 –
Maintenance hours (hrs) 2,200 2,100 1,900 1,800 8,000
Avg rate per hour (USD) 90 85 80 88 –
Emergency orders (% of valve units) 14% 12% 10% 16% –
Current suppliers
The easy way to create online exam - Online exam maker - https://www.onlineexammaker.com