This is a multinational FMCG organization, employing tens of thousands of people worldwide and owning several market-leading consumer brands.
Challenge
The company set a five-year vision for a transformed finance function to embed a more concerted and systematic approach to finance operations across their multiple businesses. Although the business case had not been fully developed, there was a strong desire to use best-in-class outsourcing to drive increased centralization of legacy finance operations, resulting in a significant reduction in internal headcount.
While there was some experience of business process outsourcing (BPO) within the Finance function, it was not wholly positive. It was limited to pockets of activity or prior experience in other organizations. The client sought a partner who could advise on the market and guide them through creating the business case and selecting the right strategic partner. Following a competitive selection process, Proxima was invited to deliver the program.
Approach
We deployed a small specialist team, embedding them within the procurement and finance transformation program office. Having validated the vision and scope, we conducted a rapid supplier and market assessment, focusing on suppliers capable of delivering the required services internationally. This created a long list of suppliers for an initial RFI; a capability-based assessment to further crystallize market capability and inform potential solutions.
Working closely with client stakeholders, we used our expertise to draft the RFP, including a detailed scope of services and decision criteria. This was issued to six capable suppliers who became a shortlist of three following the Proxima facilitated assessment. We then ran three parallel work streams:
- Solution workshops – full-day sessions on solutions and vision for the client with the shortlisted suppliers
- Negotiation preparation – outlining the strategy and building the negotiation template
- Business case – creating an initial business case for the executive team
Following the submission of best and final offers, there was a clear leading partner and a reserve option selected. As the client’s legal team negotiated the MSA, our specialists drafted the contract schedules using our intimate knowledge of the services to create a clear specification, which we then negotiated on behalf of, and with, the client. As the negotiations progressed, we continuously updated the business case until the point of final agreement and signature.
Results
On behalf of our client, we ran a process that ensured the client could be as certain as possible that the right partner was chosen for the long term. This selection delivered:
- A five-year business case that delivered many $million in savings and a potential pathway to outsource further parts of finance operations, which would deliver further savings
- Finance modernization, bringing automation and other technology solutions to the fore to increase speed and accuracy and create a pathway for further automation
- A trusted relationship with Proxima which would enable us to work collaboratively on other transformational activities
