OCS Group UK January 2020

GROUP UK Embracing change management in the supply chain

GROUP UK

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Embracing change management in the supply chain WRITTEN BY

SEAN GALEA-PACE PRODUCED BY

CHARLOTTE CLARKE

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Steve Caddell, Group Procurement Director at OCS Group UK, discusses the importance of operating with an agile approach in the supply chain space

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he world’s largest privately owned facilities management services company, OCS Group, is renowned for being a progres-

sive business with a strong heritage. Serving a diverse customer base spanning across a broad 04

range of industries such as aviation, healthcare, business and industry, sports, leisure and entertainment, OCS Group UK showcases its versatility to meet each customer’s specific needs.

With the supply chain world in a state of transition following the introduction of new technology industry-wide, Steve Caddell, Group Procurement Director at the company, believes adopting a flexible approach is key to embracing change management. “We try to be agile and lean. Our approach to change management is based on incremental gains,” he explains. “Being agile is a state of mind and if your mindset is conservative and slow, then you can’t be agile.” Caddell recognises the importance of innovation and trialling new things. “We’ve created a culture in the procurement team at OCS Group UK where it’s okay

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1900

Year founded

£450mn

Revenue in the UK, Ireland and Middle East

19,800 Employees

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to try and fail fast in the pursuit of finding new ways of working,” he says.

Change is an area that Caddell values. Having switched from an outsourced procurement model to one that operates in-house several years ago, he understands that supply chain performance not just cost saving, it is crucial. “The commercial approach of the outsourced provider was not consistent with the values of OCS Group and awarded very long term contracts and guaranteed unrealistic levels of spend,” says Caddell. “This

“ Being agile is a state of mind and if your mindset is conservative and slow, then you can’t be agile” — Steve Caddell, Group Procurement Director, OCS Group UK

CLICK TO WATCH : ‘THE OCS WAY’ 07

approach is not sustainable and there-

With a robust supplier relationship

fore not good business.” With over

management (SRM) strategy in place,

2,000 customers in the UK and each

Caddell recognises his company’s

using its supply chain, Caddell believes

strategy primarily revolves around

procurement is vitally important for

portfolio management instead of cat-

overall company success. “Each of our

egory management. “We organise our

customers use part of our supply chain,

procurement team around similarities

whether that’s the machines we deploy

of commodity, rather than just spend,”

on-site, uniforms given to our employ-

he explains. “For example, one of

ees or materials cleaning operatives

our portfolio managers looks after

use,” he affirms. “We have a very high

the wholesaler portfolio of suppliers,

reliance on our supply chain, which

ranging from catering consumables

is why our procurement function is

through to cleaning equipment. These

so well regarded within OCS.”

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but share a common operating model

reliance on our supply chain, the

of delivering to our customer sites

OCS proposition is dependent on

every day. Each portfolio manager

high performance,” he explains.

has an SRM toolkit based around

Having formed a key strategic busi-

incremental improvement. We actively

ness relationship with Tabbers and

engage with our suppliers regularly

Recomony, Caddell believes in the

and have open conversations about

value of true collaboration within the

where they can help us develop.”

supply chain and feels it is vital for

Caddell has a range of high per-

success. “Tabbers produces all of

forming suppliers at his disposal,

our marketing material and we’ve

believing that success in the indus-

worked with them for a considerable

try simply wouldn’t be possible

amount of time. In my opinion, they’re

without them. “We have a heavy

very innovative and share our values 09

E XE CU T I VE PRO FI LE

Steve Caddell Steve joined OCS, Europe’s largest private-owned facilities management organisation, as Group Procurement Director in April 2017. His work involves managing the supply of goods and services worth around £165m.

He is also responsible for a global Centre of Excellence sharing and the UK property estate. Immediately prior to this, he spent two years as a freelance consultant at a C-Suite level in some of the world’s leading property and construction businesses, successfully delivering career savings in excess of £150m, and is seen as a transformation expert within the industry specialising in strategy and high performance.

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“ T he OCS often go way beyond what is normally proposition expected. We see them as an integral part of the team,” says Caddell. is dependent “Reconomy is our waste broker and on high helps us manage over 400 local waste providers all around the UK, performance” around care, expertise and trust and

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tise and advice about how to reduce waste consumption and increase our level of recycling. Reconomy’s technology platform is also of great use to us and collates all of the statutory

— Steve Caddell, Group Procurement Director, OCS Group UK

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Looking to the future, Caddell has a clear understanding of the direction

“ Procurement is a process; not a function”

he anticipates his company to take over the next few years. “We’re in the final stages of the last few remaining legacy contracts that were created as part of the outsourced arrangements,” he says. “Once we’re free of those, we will rebuild the supply chain and restructure it significantly. We want to

— Steve Caddell, Group Procurement Director, OCS Group UK

build the highest performing supply chain within our industry and be seen as a beacon of best practice. We want to reduce our vehicle emissions, which in turn, would decrease delivery costs. It’s important that we look strategically at what we have to do in the supply chain and find the most efficient way of moving products from a manufacturer to the end user.

Procurement is a process, not a function and something that should be done by the business, not done to the business. I hope in the future that it can be seen as a normal part of what we do, enabled by a small, expert team, not necessarily a function that stands on its own.”

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OCS Group UK Ltd 4 Tilgate Forest Business Park Brighton Rd Crawley RH11 9BP www.ocs.com/uk