Challenge: an overextended, underperforming supplier ecosystem.
The company’s supplier program was struggling under the weight of inefficiency and inconsistency. A large and fragmented supplier base had expanded over time, but without active governance or performance management. As a result, supplier engagement had declined, processes varied widely across vendors, and compliance standards were increasingly difficult to enforce.
This lack of structure created several downstream challenges: slower response times, inconsistent candidate quality, and limited visibility into supplier performance. In addition, the sheer volume of active suppliers was diluting accountability and making it difficult for high-performing partners to stand out or be fully leveraged.
The company needed a more disciplined, performance-driven supplier strategy — one that would improve engagement, increase compliance, and unlock measurable value from the existing supplier ecosystem.
Solution: a data-driven supplier optimization and engagement strategy.
KellyOCG® led a targeted supplier transformation focused on optimizing performance, improving engagement, and strengthening governance across the supplier network.
Supplier optimization and rationalization.
We conducted a performance analysis across the supplier base. This surfaced underutilized top performers, as well as inactive or low-performing suppliers that were adding complexity without value.
In collaboration with client stakeholders, we:
- Removed inactive and underperforming suppliers
- Rebalanced volume toward high-performing partners
- Identified suppliers for targeted coaching and improvement support
- Communicate the optimization approach and rationale
- Align suppliers to updated expectations and standards
- Reinforce compliance requirements and program goals
- Re-engage strategic suppliers as active delivery partners
Supplier engagement and alignment summit.
To maintain transparency and strengthen relationships, we hosted a supplier summit to:
- Communicate the optimization approach and rationale
- Align suppliers to updated expectations and standards
- Reinforce compliance requirements and program goals
- Re-engage strategic suppliers as active delivery partners
Result: stronger performance, greater efficiency, and measurable savings.
The program delivered $766,000 in cost savings. Supplier engagement increased three times, driven by a more focused supplier base and stronger activation of top performers. And candidate diversity remained strong at 89% per requisition, reflecting an effective supplier mix.
Operational performance improved across the board:
- Improved compliance and reduced program risk
- Faster cycle times driven by higher supplier responsiveness
- Better candidate quality and consistency
- Real-time visibility via Sevayo® for ongoing optimization
By transitioning certain workers to the preferred payroll supplier within the program structure, the client also unlocked additional efficiencies and reduced administrative burden, further contributing to overall savings and compliance consistency.
