LONDON--(BUSINESS WIRE)--Nordic Capital has won Private Equity International’s (PEI) Excellence in Procurement Award for an innovative procurement programme that delivered approximately €10 million in savings in 2016.
The award was presented to Bob Kickham, Industrial Adviser and Head of NCPO at Nordic Capital, by Declan Feeney, Private Equity Director at Efficio, at the PEI Operating Partners Forum and recognises portfolio companies that best address procurement issues and turn them into a value creation lever.
The Nordic Capital Procurement Optimisation (NCPO) model pools the sourcing requirements of portfolio companies and leverages their scale to deliver significantly enhanced procurement deals – similar to those enjoyed by large multinationals. Economies of scale can be achieved to meet common needs, for example flights or hotel accommodation, as well as industry-specific requirements. Additional benefits for participants include procurement skills training and the opportunity to share best-practice insights, tools and processes.
NCPO currently combines the power of 80,000 employees and €17 billion in revenue, generating savings of around €10 million per annum and a value created of €100 million per annum.
Bob said: “Out of adversity comes opportunity and the best commercial minds will always respond to frustration with innovation. NCPO is an outstanding example of a group of management teams identifying a problem and sharing their professional insights to craft a solution that has generated considerable opportunity and value for its participants. I am delighted to accept this award on behalf of all those Nordic Capital portfolio companies – current and past – that have contributed to NCPO’s success.”
Declan said: “Previously the award has gone to a single company within a private equity portfolio but, this year, the Nordic Capital NCPO approach of generating value across multiple companies by enabling them to partner together and share best practices stood out from the competition. In addition to demonstrating significant savings in 2016, NCPO has a clear vision of how to increase the value from procurement in further direct and indirect spend procurement categories across its portfolio through to 2020.”
Efficio helps its clients achieve breakthrough results in their procurement and supply chain functions. We work for blue chip companies and leading private equity firms to deliver more from procurement and the supply chain, while transforming the client’s capability for the long term.
The private equity industry represents over 50% of the projects we deliver, given the desire of investors and management to realise substantial benefits within a part of the business that is in their control. Since inception, we have worked with over 25 different private equity groups and over 50 different portfolio companies.
Efficio is headquartered in London, with offices in Denmark, France, Germany, Italy, the Middle East, Switzerland and the USA.
For further information about Efficio, please see: www.efficioconsulting.com
About Nordic Capital
Nordic Capital private equity funds have invested in mid-market companies primarily in the Nordic region since 1989. Through committed ownership and by targeting strategic development and operational improvements, Nordic Capital enables value creation in its investments. Nordic Capital Funds invest in companies in northern Europe and in selected investment opportunities internationally. The most recent fund is Nordic Capital Fund VIII with EUR 3.5 billion in committed capital, principally provided by international institutional investors such as pension funds. Nordic Capital Funds are based in Jersey, Channel Islands, and are advised by the NC Advisory companies in Sweden, Denmark, Finland, Norway, Germany and the UK. For further information about Nordic Capital please see www.nordiccapital.com