Supply Chain Consulting Overview

Supply chain overview

Supply Chain Consulting Overview

Gibson Consulting Supply Chain Overview

Gibson defines success as actual, sustainable financial results in our client’s supply chain. These savings are measured by the bottom-line impact in terms of COGS reduction (direct materials), SG&A (indirect materials), and/or margin improvement.  The magnitude of savings is directly related to us working shoulder-to-shoulder with our clients across our four Supply Chain Consulting Services: Global Strategic Sourcing, Best Cost Country Sourcing, M&A Due Diligence, and Manufacturing Efficiency.

Global Strategic Sourcing

As your supply chain consulting firm, Gibson Consulting turns Global Strategic Sourcing into your competitive advantage. We specialize in  procurement transformation and supply chain resiliency that boost efficiency and increase our clients’ long-term earnings. After coupling your knowledge and insights with the experience of our supply chain consultants, we put our 11-Step Phase Gate Process to work, analyzing hundreds of purchase categories and identifying procurement strategies to unlock the pent-up value in your organization’s supplier relationships. To date, our process has yielded more than $20 billion in procurement savings to our clients’ bottom lines, and our clients’ success keeps on growing.

More than 90% of Fortune 1,000 companies have pursued strategic supply chain initiatives. Many of them have chosen Gibson because our commitment to collaboration, in-depth training, and side-by-side implementation, creates the personalized sourcing solution that allows them to flourish with substantial financial gains.

Best Cost Country Sourcing

The world has grown smaller than ever. Geographic proximity no longer limits your company’s supplier options for purchasing materials, components, and other essential services. Whether you’re buying electrical components from Southeast Asia, or metal fabrications from Mexico, Gibson Consulting’s Best Cost Country Sourcing leverages the global marketplace to drive bottom-line value and improve overall quality and efficiency. With decades of experience and low-cost global sourcing expertise, we can help you with an approach that’s equal parts qualitative and quantitative.

M&A Due Diligence

Our pre-merger analysis is a data-driven method for determining the true value of potential synergies in supply chain management. We leverage data to calculate the true benefit of vertical integration and potential value compared to alternative M&A targets. Gibson will also analyze potential product consolidation and purchase costs across divisions. Following our M&A Due Diligence, Gibson will initiate our proprietary 11 Gate Global Strategic Sourcing Process, which yields the foundational improvements necessary to generate repeatable results.

Manufacturing Efficiency

Every manufacturing company looks to improve the bottom line by decreasing costs, production time, and waste. That’s why the majority of our supply chain consulting clients have a variety of Lean Manufacturing practices in place at the onset of our relationship. We add value by evaluating and optimizing these practices while focusing on Manufacturing Efficiency in the actual manufacturing process, which can include upgrading and redesigning production lines. Our initiatives are centered on these principles:

  • Focusing on value
  • Eliminating waste (Muda)
  • Enhancing product flow
  • Building only what the customer needs
  • Striving to deliver quality execution

  • People only see what they are prepared to see

    Ralph Waldo Emerson

Drive lasting change across all areas of your Supply Chain

Global Strategic Sourcing

Best Cost Country Sourcing

M&A Due Diligence

Manufacturing Efficiency

Our supply chain consulting clients have saved $20+ billion

across 20,000+ supply chain categories

At Gibson, the core of who we are focuses on Superior Results. Implementation focused—with you every step of the way.

Sampling of Our Prior Clients

Gibson at a Glance

Recognized Supply Chain Experts

More practicing supply chain professionals than most large firms combined

50-200% Sustainable EBITDA impact

Beyond strategy, we implement chain and train for sustainability.

International & Domestic Expertise

Thousands of negotiated contracts in 100+ countries, 500k supplier profiles, and robust partner-lead training

15-23% average savings for clients

Bottom-line realized savings, driving growth for clients and their stakeholders

Client Case Studies

Global Manufacturer POWER TOOL MANUFACTURER Fortune 500 Heavy Equipment Manufacturer
<br>CLIENT: $7 BILLION DIVERSIFIED GLOBAL MANUFACTURER WITH 35 INDIVIDUAL OPERATING COMPANIES, ACROSS FOUR GLOBAL SEGMENTS. RESULTS INCLUDED:


CLIENT: $7 BILLION DIVERSIFIED GLOBAL MANUFACTURER WITH 35 INDIVIDUAL OPERATING COMPANIES, ACROSS FOUR GLOBAL SEGMENTS. RESULTS INCLUDED:

  • Trained over 450 cross-functional team members
  • Doubled bottom-line profit
  • Reduced supply base 80%+

A SMALL PART OF THIS GLOBAL PROJECT INVOLVED REDUCING OFFICE EXPENDITURES ($4.9M). BELOW IS AN OVERVIEW OF GIBSON’S APPROACH:

Gibson analyzed the client’s spending patterns and visited key locations to understand the unique needs of 35 companies.

A market basket of commonly purchased items was identified across North America, Europe, and Asia. Gibson negotiated with major office supply providers to obtain competitive bids to reduce the cost of these items.

The savings initiative produced annual savings of $1.5 million (31% Savings on $4.9M Spend) and consolidated the supply base to a single global provider. Gibson established standardized data reporting processes and appointed an executive contact to oversee the supplier relationship, ensuring ongoing partner success and savings.

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<br>Client: $1.1 billion division of a $3 billion company, operated four manufacturing facilities in the U.S. and one in Germany.


Client: $1.1 billion division of a $3 billion company, operated four manufacturing facilities in the U.S. and one in Germany.

  • Reduced supply base by 42%
  • Improved supplier on-time delivery by 70%
  • Improved Quality by 30%
  • Annual project savings $128M

Below is a summary of our collaborative approach.

Gibson Consulting partnered with a leading power tool manufacturer to improve its global strategic sourcing process.

In collaboration with 75 client professionals, Gibson executed a strategic sourcing project focusing on 25 categories. The project included 150 supplier negotiations across 11 countries.

The initiative resulted in annual savings of $128M+. The project also improved earnings per share by $0.16, reduced the supplier base by 42%, enhanced supplier on-time delivery by 70%, and increased quality by 30%.

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<br>Client: A Fortune 500 company’s Mining Division that expanded rapidly through 12+ M&A Transactions


Client: A Fortune 500 company’s Mining Division that expanded rapidly through 12+ M&A Transactions

  • Realized $30M in cost savings
  • Significant operational improvements
  • Formal ongoing cost reduction program
  • Negotiated global supplier agreements for all seven product categories

Establishment of a Global Supply Chain Team Across Five Continents Nets $30M in Savings and Ongoing Operational Improvements. Here’s how Gibson provided solutions to help the client overcome their challenges:

After years of mergers and acquisitions, this Fortune 500 heavy equipment manufacturer faced a fragmented supply base, inconsistent pricing, insufficient supplier agreements, and an outdated global procurement strategy. Complex regulatory environments across the globe compounded these challenges.

Gibson conducted over 100 interviews and a thorough spend analysis to pinpoint key savings opportunities. Then, the client implemented our 11-Gate Strategic Sourcing Process, resulting in the creation of teams in Germany, Australia, China, and the U.S. to engage with suppliers and negotiate across five continents.

This initiative resulted in savings exceeding $30M, operational improvements, and the establishment of formal cost-reduction programs with partners.

Gibson also created global supply agreements to guarantee stable pricing and transformed the client's supply chain strategy, laying the groundwork for sustained savings.

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Unwavering Client Commitment

Superior Supply Chain Results

Don’t take our word…Hear from world-class executives who know from experience.

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