Strategic Sourcing Solutions and Operating Cost Reductions For The Agriculture Industry

The agriculture industry is a difficult one. Agribusinesses are routinely required to combat daily operating costs while still delivering high quality and safe products to customers unwilling to accept higher prices. Solving these cost reduction challenges requires tailored solutions to overcome the rise in foreign competition, increasing regulations and environmental concerns, and the vastness of scale in which agribusiness operates.

Rising foreign competition and regulatory challenges have encouraged agricultural firms increase their efforts concerning internal cost savings. With most agribusinesses already running lean, having reduced headcounts and expenses where possible, they are searching for new methods to increase savings. Enter RICHHI MANAGEMENT SERVICES.

RICHHI MANAGEMENT SERVICES'S SUBJECT MATTER EXPERTS CAN HELP AGRIBUSINESSES INCREASE THEIR EFFICIENCIES AND SAVINGS USING OUR EXPERTISE IN ALL INDIRECT AND DIRECT SPEND CATEGORIES.

RICHHI MANAGEMENT SERVICES has the broad knowledge base, market intelligence, and strategic sourcing expertise required to assist agribusiness organizations as they seek additional savings opportunities in their direct and indirect spend categories. Following an initial spend analysis for the organization, RICHHI MANAGEMENT SERVICES offers an overarching view of where a business' spend is allocated before offering a suite of custom strategic sourcing initiatives catering to the individual business needs of the company. Promoting tactical buying practices and forward-looking strategic cost initiatives allows agribusiness firms to improve their performance metrics, now and in the future.

RICHHI MANAGEMENT SERVICES has identified significant savings for agricultural firms in the following categories:
• Chemicals/Ingredients
• Product Packaging
• Logistics
• MRO
• Material Handling Equipment
• Facilities Management
• Waste Disposal
• IT Telecommunications

Many best-in-class companies have accepted that traditional cost savings avenues are producing diminishing returns in their current business environment. RICHHI MANAGEMENT SERVICES works with these companies to identify the cost cutting decisions that will not harm the business and continue to produce results, whether that means refining data collection methods or consolidating a supplier base.

Operating Expense Reduction For Banks and Financial Institutions

Decentralized structures due to mergers and acquisitions as well as under investment in procurement expertise due to historically higher industry margins has banks facing organizational and capability challenges with regards to reducing operating costs

High write-downs, liquidity pressures, and tighter credit standards are encouraging banks and financial institutions to concentrate on internal cost savings. Banks and financial institutions have already slimmed down their headcounts and are looking for non-compensatory cost cutting strategies.

BANKS AND FINANCIAL INSTITUTIONS UTILIZE RICHHI MANAGEMENT SERVICES'S SUBJECT-MATTER EXPERTISE IN RELEVANT INDIRECT CATEGORIES TO DRIVE SAVINGS AND IMPROVE EFFICIENCIES WHILE ENCOURAGING HIGH PERFORMANCE.

Utilizing a proven strategic sourcing process and subject-matter expertise, RICHHI MANAGEMENT SERVICES helps banks and financial institutions reduce non-compensation expenses and improve infrastructures. An initial spend analysis provides an overall view of where spend is allocated and RICHHI MANAGEMENT SERVICES provides customized procurement solutions to meet organizational needs. Transitioning tactical buying practices to longer-term strategic cost initiatives leaves banks and financial institutions better able to renew current and future high performance standards.

Common categories of operating expenses that banks and financial institutions find significant savings under the guidance of RICHHI MANAGEMENT SERVICES include:
• Professional services (temporary workers, legal advisory, management consultancy)
• IT Services and Software
• Facilities Maintenance
• Rent/Lease
• Sales and Marketing
• P-Cards
• Insurance
• Telecommunications
• Office Supplies and Equipment
• Utilities
• Security Services
• Governance, Risk and Supplier Management

Banks and financial institutions are finding that traditional cost cutting methods aren't producing the results needed to meet current business goals. RICHHI MANAGEMENT SERVICES can help banks not only cut costs, but cut the right costs. Our procurement transformation services not only enhance strategic sourcing practices from data collection through to implementation and ongoing monitoring, but we also present procurement transformation solutions including vendor consolidation, change management, and electronic enablement.

Operations Expense Reduction For Builders and Construction Firms

How can construction companies cut costs without disrupting the quality of services and goods? RICHHI MANAGEMENT SERVICES's strategic sourcing and cost reduction services!

Construction companies, real estate developers, and builders are facing unique organizational challenges on smaller, unwavering budgets. A tight commercial credit market has limited the funding available and increased the requirements to get it. A down market has also reduced the number of buyers for properties. Those who do want to buy now have high expectations for quality without paying high costs.

Changing environmental trends and policies have also affected the construction landscape in everything from building design to material availability. Furthermore, new housing trends - such as multi-generational housing and changing building codes as a result from natural disasters - have added complexity to both the residential and commercial building markets. As the landscape continues to develop, construction companies must rise to meet the new challenges in order to remain competitive. This increased activity has led many construction companies to renew their focus on internal cost savings.

Too often, cutting costs is associated with lower quality materials, poor service, and an overall cheaper experience. This doesn't have to be the case. RICHHI MANAGEMENT SERVICES can help!

RICHHI MANAGEMENT SERVICES'S SUBJECT-MATTER EXPERTISE IN SOURCING DIRECT AND INDIRECT SPEND CATEGORIES ARE HELPING CONSTRUCTION COMPANIES INCREASE THEIR EFFICIENCIES AND SAVINGS.

Over the past two decades, RICHHI MANAGEMENT SERVICES has developed a broad knowledge base of subject-matter expertise and proven strategic sourcing strategies. We leverage this experience, and our proprietary databases of market intelligence, to completely scour a client's spend, offering an overview of where spend is allocated and where savings opportunities reside. Our construction sourcing experts then develop targeted, tailored solutions to satisfy a construction company's unique cost control goals. Differing from many other spend management consultants in the construction industry, RICHHI MANAGEMENT SERVICES's strategic sourcing team remains with the client after delivering our cost reduction recommendations, working with the construction client's internal resources to implement initiatives and ensure they produce the projected savings. Additionally, our construction sourcing experts will watch over the category post-implementation to eliminate rogue spend and supplier pricing creep, and to identify future value opportunities.

Advancing long-term strategic cost initiatives and tactical buying practices allow construction companies to improve their present and potential performance metrics. Through standardization, compliance monitoring, supplier relationship management, and careful negotiations, our strategic sourcing experts have helped many construction companies achieve savings that they never thought were possible.

RICHHI MANAGEMENT SERVICES has identified significant savings for construction companies in a variety of their direct and indirect spend categories, including:

• Employment Screenings
• Fuel Cards
• GPS Locators
• Job Scheduling Software
• Heavy Equipment Leasing
• Insurance
• Maintenance Agreements
• Materials and Supplies
• Appliances and Finished Goods
• Office Supplies and Equipment
• Payroll Services
• Security Services
• Telecommunications
• Temp Labor and Contractor Services
• Tools and Equipment
• Waste Disposal

As many best-in-class construction companies have found, traditional cost savings avenues no longer produce the desired results for success in the current business environment. RICHHI MANAGEMENT SERVICES's strategic sourcing consultants can develop the most appropriate cost-cutting and value-generating solutions that produce results for our construction clients while maintaining, and often improving quality and service levels. RICHHI MANAGEMENT SERVICES's catalog of procurement transformation services enhance construction companies' strategic sourcing practices, refining everything from data collection, to implementation, and offers solutions from change management to supplier consolidation.

Strategic Sourcing in the Consumer Packaged Goods Industry

GAIN BACK MARGIN THROUGH STRATEGIC SOURCING

CPG companies operate are in a very challenging and dynamic market space. Simultaneously, they must:

• Meet the ever-changing needs of a wide-ranged customer base of millennials to seniors - who are striving to get the most value out of every dollar spent in a highly competitive environment;
• Stay ahead of their competitors throughout the marketplace - who are motivated, aggressive and always willing to eat margin to win new accounts;
• Work collaboratively with suppliers & vendors - raw material providers, contract manufacturers, marketing & creative agencies and retail business system & software providers - all of whom are looking to increase their fees and make their accounts more profitable.

Many businesses in the CPG landscape, whether retailer or manufacturer, are properly focused, first and foremost, on their customer base and meeting their needs; this includes developing innovative and technologically advanced product lines, enhancing shopper experiences and expanding into emerging markets. These initiatives foster brand loyalty, typically safeguard steady revenue growth and potentially offset competitive advances. Despite the countless initiatives CPG companies put fourth, the increase in popularity of private brands and continued rising costs of production have cut into the bottom-line driving profits down and decreasing available budget to invest in future, innovative products.

RICHHI MANAGEMENT SERVICES provides CPG companies with the industry knowledge and sourcing expertise needed to reduce costs, enhance or foster new supplier partnerships and increase transparency and control of your bottom-line. These strategic initiatives are performed via an adaptable, flexible suite of procurement outsourcing, market research and spend management services. We offer subject matter expertise, streamlined processes and decades of strategic sourcing experience to quickly identify opportunities for spend reduction, scope of work value additions and benchmarking exercises on your behalf to ensure identified opportunities translate into tangible savings. For CPG retailers and manufacturers, RICHHI MANAGEMENT SERVICES is a one-stop-shop with the ability to manage 100% of internal and external spend categories.

Direct Expenditures for Consumer Packaged Goods Manufacturers

Within the CPG industry, the highest areas of expenditure include raw materials along with contract manufacturing and contract packaging. While these spend categories represent the biggest expenditures for any CPG company, they are also those with the lowest margin and come with a high cost of change. When considering cost reduction in these areas, it is important to identify the right opportunities for sourcing, before you begin to invest time and effort into a project where change is not possible or costs are already as low as they can be. RICHHI MANAGEMENT SERVICES's strategic sourcing experts are well experienced in helping companies benchmark their spend, allowing them to follow only the path that leads to maximum potential savings in the shortest amount of time.

Let RICHHI MANAGEMENT SERVICES's team of experts help you find the right opportunities in these areas of direct expenditure:

• Raw Materials
• Contract Manufacturing and Contract Packaging
• Freight and Logistics
• Packaging

Indirect Expenditures for Consumer Packaged Goods Manufacturers

The most substantial indirect expense for CPG companies, by far, is marketing and advertising. The joint imperatives to solidify brand loyalty and maintain or expand market share makes continued investment into marketing and advertising necessary. At RICHHI MANAGEMENT SERVICES, our strategic sourcing resources include dedicated marketing subject matter experts that can help your internal marketing and advertising groups get the greatest ROI from their budgets. Our portfolio of strategic sourcing and value identification services allow your internal marketing resources to focus on strategy while we keep costs in line. Our strategic sourcing team understands what is important to marketing, and works closely with them to ensure they get the most value out of their supplier relationships.

Keeping track of consumer demographics, activities, preferences and needs are an important factor when deploying marketing/communication initiatives while simultaneously providing the same look and feel throughout each customer-facing platform. RICHHI MANAGEMENT SERVICES Management provides industry knowledge and sourcing expertise in customer-centric platforms to ensure your consumer's needs are being met and your platforms are producing the same message throughout while maintaining a high uptime metric. We provide experience with the following platforms & Integrations:

• CRM Platforms
• Customer Loyalty Platforms
• POS Systems
• Order Management Systems
• Call-Centers/Customer Service Operations
• Administrative Interface Platforms
• Software Integrations
• SaaS& Cloud Services
• E-Commerce Platforms (Web Optimized Solutions)
• Mobile Application & Integration

RICHHI MANAGEMENT SERVICES's strategic sourcing experts can help your company reduce costs and improve supplier relationships in marketing, as well as these other areas of indirect spend:

• Marketing and Advertising
• IT and Telecommunications
• Facilities Services
• MRO

RICHHI MANAGEMENT SERVICES's team of strategic sourcing experts can help your organization make the right decisions when it comes to spending - allowing you to refocus on product innovation and gaining a competitive advantage in the marketplace. We can assist in all aspects of vendor cost reduction, from opportunity identification, to strategic sourcing, to contracting best practices, to implementation and supplier relationship management.

Strategic Sourcing Services for Defense Contractors

Defense contractors face unique organizational challenges, especially in an era of decreased government spending.

With the growing challenge of Federal Government budget deficits, military technology and equipment manufacturers are frequently required to combat and reduce daily operating costs while still delivering a high quality product to the Department of Defense. These cost reduction challenges require unique solutions to battle difficulties in a down market and comply with ever-changing rules, regulations, and oversight while coordinating multiple suppliers.An increasingly competitive market, a slowdown in new weapons programs and defense projects, and a maze of complex regulations have forced contractors for the military to place focus on their own internal costs. Many of these defense companies have already reduced expenditures and headcount wherever possible, and are now searching for other methods to increase savings. RICHHI MANAGEMENT SERVICES can help!

RICHHI MANAGEMENT SERVICES'S STRATEGIC SOURCING EXPERTISE IN BOTH DIRECT AND INDIRECT SPEND CATEGORIES ARE HELPING DEFENSE CONTRACTORS INCREASE THEIR EFFICIENCIES AND SAVINGS.

RICHHI MANAGEMENT SERVICES's cost reduction specialists have broad subject-matter expertise, which can help defense companies as they look to increase savings in their indirect and direct spend categories. Once an initial analysis of their spend is completed, our experts work with the military technology and equipment manufacturers to provide customized solutions that satisfy the firm's cost control goals. Advancing long-term strategic cost initiatives and tactical buying practices allows defense contractors to better improve their present and potential performance metrics.

As an added benefit, RICHHI MANAGEMENT SERVICES's strategic sourcing and procurement professionals can guide your organization through the maze of steps needed to gain a government contract, such as identifying FSC, SVC, PSC, and NAICS codes, obtaining a DUNS number, and a CAGE code for your suppliers.

Our strategic sourcing experts have worked with defense contractors across the country, identifying savings opportunities throughout their direct and indirect spend categories, which include:

• Materials and Supplies
• Temporary Labor and Contractor Services
• Travel Services
• Heavy Equipment Leasing
• Fuel and P Cards
• Telecommunications
• Insurance
• GPS and Scheduling Software and Equipment
• Office Supplies and Equipment
• Payroll Services
• Security Services
• Waste Disposal
• Employment Screenings
• Project Manager Training
• Quality Assurance/Quality Control
• Utilities

Many military equipment manufacturers have found that traditional cost savings avenues no longer produce the desired results for success in this current environment of political austerity. RICHHI MANAGEMENT SERVICES's sourcing experts help defense firms select the optimal cost cutting decisions for their business needs. RICHHI MANAGEMENT SERVICES's catalog of spend management and procurement transformation services enhance defense companies' strategic sourcing practices, refining everything from data collection, to implementation, to monitoring for compliance.

Contact us today to learn more about how we can help your company.

Strategic Sourcing For Educational Institutions

Rampant federal and state education funding cuts and increased requirements and regulations introduced by the Higher Education Opportunity Act of 2008 have resulted in increased education budget cuts, higher operational educational expenses and ultimately less resources to pay for the people, technology, equipment and resources needed to keep educational institutions running smoothly.

The increasing price sensitivity of future students, evident by the backlash received in reaction to tuition hikes, has forced college and university financial leaders to use alternative methods to relieve their budgets. Often, the first place administrative educational leaders focus is the budgets for all procured goods and services.

This increased focus on higher education's procurement departments has left already understaffed purchasing departments with a massive burden to undertake multiple strategic sourcing initiatives, without the resources to get to them all properly.

RICHHI MANAGEMENT SERVICES IS ABLE TO LEVERAGE HIGHER EDUCATION BUYING POWER, ITS COST REDUCTION RESOURCES AND STRATEGIC SOURCING BEST PRACTICES TO HELP EDUCATIONAL INSTITUTIONS BATTLE THE FINANCIAL PRESSURE OF MINIMAL EDUCATION FUNDING.

Whether you represent a college, university, vocational, technical or specialty school; are non-profit, for-profit, private, state or a public school, we can help.

RICHHI MANAGEMENT SERVICES's strategic sourcing methods allow higher education institutions already running lean to become more efficient and produce cost-savings in their purchasing departments. We help reduce current reliance on tuition hikes by examining higher education budgets to find hard-dollar savings. Our sourcing professionals will work as an extension of purchasing departments in charge of higher education spending to analyze current spending habits, evaluate savings opportunities, implement supplier agreements, and audit invoices after savings are achieved.

Through our proven strategic sourcing process, we are able to obtain an average of 18% savings across all categories we source. A small sampling of spend categories in which we have reduced higher education spending include:

• Medical, Property, Liability Insurance
• Books and Printed Materials
• Drug Screening
• Maintenance, Building, Janitorial and MRO Supplies
• Copiers, Printers and Office Equipment
• Advertising and Marketing
• Telecommunications, including local, long distance, data networks and wireless
• Call Centers
• Student Record Retention Systems
• University Specific Software and Enterprise Software Licensing and Maintenance
• Recruiting Expenses
• Temp Labor and Contract Labor Staffing
• Security
• Legal Expenses
• and More!

RICHHI MANAGEMENT SERVICES works in tandem with your educational institution's in-house staff. Your experienced staff, combined with our decades of experience and market intelligence databases work together to achieve the maximum amount of savings possible in your higher education spend.

Reducing Costs For Food and Beverage Manufacturers

Intense competition and expanding product portfolios require food and beverage manufacturers to sustain thin profit margins.

Product quality requirements and increasing capacity constraints have led food and beverage manufacturers to consolidate plant operations and expand into global markets. Additionally, the challenges of meeting seasonal demands, obtaining carriers, and transporting large volumes can have a severe negative impact on freshness and quality if suppliers are improperly managed. These challenges, along with new product development costs to meet shifting consumer tastes and skyrocketing transportation and logistical costs require food and beverage manufacturers to examine their supply base to find savings while still maintaining product consistency.

WE HAVE SPECIFIC EXPERIENCE WITH FOOD AND BEVERAGE MANUFACTURERS AND OTHER INDUSTRY MANUFACTURERS AND HAVE NEGOTIATED MILLIONS OF DOLLARS IN COST SAVINGS FOR HUNDREDS OF DIRECT AND INDIRECT SPEND CATEGORIES WHILE IMPROVING SUPPLY CHAIN EFFICIENCIES. LET OUR RESOURCES HELP YOU GET THE MOST VALUE OUT OF YOUR SUPPLY CHAIN.

With real-time market intelligence resources and subject-matter experts on staff, RICHHI MANAGEMENT SERVICES adds unprecedented buying power and resources to a food and beverage manufacturers' sourcing and procurement process. RICHHI MANAGEMENT SERVICES understands the distinct needs and challenges faced by food and beverage manufacturers to properly manage and maintain suppliers. We will work with you to produce hard-dollar savings and improve operational efficiency all while ensuring product quality and consistency.

How can we do that?
• We have the time and people power to collect and analyze category data
• We've refined our own processes across a variety of industries in order to develop a truly best in class solution
• We have access to information and market intelligence that is not available to internal sourcing groups
• We work in tandem with internal stakeholders to develop an understanding of manufacturing production and delivery cycle needs
• We don't believe in one way of doing things. We customize our sourcing approach to meet the needs of each category and product line.
• Our proven best-practices develop favorable, long-term relationships between our clients and suppliers
• We never accept referral fees from suppliers. We work completely on behalf of our clients to produce the best overall value for their procurement dollar.

The breadth of our spend category experience provides food and beverage manufacturers with access to unprecedented market intelligence sources and subject matter expertise. Our subject-matter experts can help drive margin improvement for the products and services food and beverage manufacturers need to maintain production operations.

We can help manufacturers lower their indirect and direct costs across a wide range of categories, including:
• Raw Ingredients
• Specialty Ingredients
• Freight and Logistics, including Specialized Logistics like Reefers
• Construction and Capital Equipment
• Professional Services
• Product Packaging
• MRO and Manufacturing Equipment
• Facility Services
• Real Estate, Rent and Lease
• Utilities
• IT and Telecommunications
• Marketing Services
• Chemicals

Strategic Sourcing For Healthcare Providers and Life Sciences Organizations

In other words... Do More With Less.

As a Procurement Services Provider, with significant experience in Healthcare Strategic Sourcing, we can help you maximize the value you receive in exchange for the precious dollars you spend. We accomplish this by reducing your costs and leveraging the latest procurement technologies without your hospital or healthcare organization having to take on the risks of payroll and resources that are typically required to achieve such results.

RICHHI MANAGEMENT SERVICES Can Help You:
• Reduce Spend through Aggregation, Leveraged Buying, Strategic Sourcing and Fact-Based Negotiations.
• Reduce Cost and Cycle Time, utilizing Industry Best Practices and Real-Time Market Intelligence.
• Enhance Standardization, Compliance and Control.
• Improve End-User Satisfaction.
• Evaluate, optimize and source through Group Purchasing Organizations (GPO) to maximize savings

With a long list of satisfied clients including hospitals, health networks, university medical centers and healthcare research facilities, RICHHI MANAGEMENT SERVICES is fully versed in working in conjunction with healthcare procurement departments and healthcare executives to define and successfully reach organization-wide goals. Our comprehensive solutions help manage you manage your budget while keeping medical staff on the floor.

Even if you are already using one or more GBOs or GPOs, we can help! Our depth of experience in working alongside and negotiating with Group Purchasing Organizations (GPO's) has developed the expertise necessary to successfully reduce the cost of doing business while remaining loyal and even enhancing relationships with incumbent suppliers. Each major GPO offers tools to identify savings opportunities on Physician Preference Items (PPI). We can help you navigate those tools by working with your internal staff to aggregate pricing data, utilization rates, and adequate benchmarks.

Contact us for help with Strategic Sourcing for your Healthcare or Life Sciences Organization.
Sample of Satisfied Strategic Sourcing Hospital Clients:
Sample Strategic Sourcing Hospital Clients

Strategic Sourcing for Hotels, Restaurants and the Hospitality Industry

Hospitality operations and hotel/restaurant/guest services purchasing departments are tasked with reducing costs while supporting daily operations to ensure a high level of guest satisfaction.

Implementing a strategic sourcing initiative for operating supplies and equipment into a hotel's purchasing process allows hotel purchasing managers to expand their budget while building strategic, long-term relationships with suppliers that ensure consistent quality and availability of OS&E products and services needed to run daily hotel operations. With a focus on supplier alliances, hotel purchasing groups will be able to expand beyond a tactical role in procuring hospitality supplies to acting as strategic members of a hotel's organization.

OUR TEAM OF SOURCING PROFESSIONALS ACT AS AN EXTENSION OF YOUR HOTEL PURCHASING DEPARTMENT TO NOT ONLY SAVE YOU MONEY AND TIME, BUT TO CREATE AN INTEGRATED SUPPLY CHAIN WITH STRATEGIC PARTNERSHIPS CRITICAL TO YOUR HOTEL OR RESTAURANT'S BUSINESS GOALS AND OBJECTIVES.

RICHHI MANAGEMENT SERVICES's team of professional and experienced purchasing project managers is your single resource for multiple responsibilities including strategic sourcing, procurement, and delivery coordination. Our conceptual budgets help you cost out each OS&E item and our understanding of your hotel and restaurant operations allows us to optimize purchasing schedules and provide cash-flow projections aid planning. We work on your behalf to accrue the operating supplies your business needs while establishing and improving vendor relationships.

RICHHI MANAGEMENT SERVICES's experts can help reduce costs and improve supplier relationships in the following categories:

• Amenities
• Bed, Bath and Table Linens
• Commercial Laundry
• Fitness Equipment and Supplies
• Engineering and Facilities Maintenance Supplies
• Extended Stay, Time Shares and Condo Supplies
• Food and Beverage
• Kitchen Equipment
• Guest Room Amenities
• Housekeeping and Cleaning Products
• Linens and Bedding
• Office Supplies and Equipment
• Paper Products
• Signs and Print Solutions
• Small Appliances
• Trash Receptacles and Liners
• Uniforms

By utilizing an expert sourcing team, hotels and restaurants are better able to reduce operating supply costs and optimize supplier relationships without having to resort to excessive restructuring and personnel reduction which could inhibit guest satisfaction and business growth.

Strategic Sourcing and Cost Reduction Services and Strategies for Insurance Providers

Whether looking for short-term stability, cost structure improvement, or new business models, insurance companies have set goals to reduce operating costs and optimize resources.

Increasing risks in the insurance sector coupled with disparate operational systems and regulatory requirements has put pressure on insurers' bottom lines. Lean insurance procurement staffs are taxed with managing indirect costs across multiple locations and lack the resources necessary to strategically cut costs.

RICHHI MANAGEMENT SERVICES's team of strategic sourcing experts provides insurance companies with external resources who can commit the appropriate amount of time and energy to source products and services that are crucial to maintaining operations.

WE HAVE HELPED NUMEROUS INSURANCE COMPANIES IMPLEMENT STRATEGIC COST REDUCTION EFFORTS AND HAVE NEGOTIATED HUNDREDS OF FAVORABLE SUPPLIER CONTRACTS THAT IMPROVE PRODUCT QUALITY AND SERVICE LEVELS.

RICHHI MANAGEMENT SERVICES's team of sourcing experts understand the importance of unique cultural and operational aspects of insurance companies and work with internal stakeholders to identify suppliers who can meet qualitative and quantitative needs. We leverage our negotiating and contracting experience and work exclusively on behalf of our insurance clients to establish terms and conditions that produce favorable agreements and reduce risk. Our subject-matter experts have extensive experience with negotiating and contracting with service providers for multiple-facility insurance companies.

We can help insurance companies lower their indirect costs.

• Benchmarking and Market Research
• Facilities Maintenance (Elevators, Food Service, HVAC, Janitorial, Landscaping, Security, etc.)
• Printing and Fulfillment
• Telecommunications
• Banking Services and Merchant Accounts
• Claims Recovery
• Marketing and Advertising
• IT Services and Software Licensing
• Travel
• Office Supplies & Equipment
• Employment Screenings
• Staffing and Temp Staffing
• AND MORE (see sample spend categories)

Strategic Sourcing For Manufacturers

In today's increasingly interconnected and interdependent global marketplace, manufacturers face an ever-growing list of challenges in order to remain competitive.

To be successful, many large scale manufacturing operations often must find a keen balance that addresses the more task-focused needs of the production process as well as the financial planning, oversight and control requirements of any major modern business organization.

Since 1992, RICHHI MANAGEMENT SERVICES professionals have worked with some of the world's leading manufacturing companies to help them optimize their spending, locate reliable and economical sources of raw materials, products and components for their manufacturing processes, and develop ways to make their operations more efficient and cost-effective.

Our strategic sourcing services for manufacturing companies go beyond strictly cost reduction services. We can assist in:

• Low Cost Country Supplier Identification
• The Procurement of Raw Materials
• The Procurement of Indirect Spend Items
• The Identification of Qualified Suppliers in Near Shore Locations, such as Mexico
• Improving Collaboration with your Suppliers
• Improving Lead Times
• Customs and Logistics
• Identification and Build Out of Warehousing Locations
• Acquisition of Capital Equipment
• Reducing Maintenance Costs of Capital Equipment
• Identification of Quality Auditing Partners
• Improving Payment Terms with your Supply Chain Partners
• Inventory Control

The cost reduction services we have provided to manufacturers span the full range of business operations. For example:

• Our professionals worked with the banking and treasury services area of a major manufacturer to review all payables and receivables processed through their department in order to identify possible cost savings and to source more cost-effective service providers in categories involving checking fees, interest rates, direct deposits, reporting fees and more.
• RICHHI MANAGEMENT SERVICES worked with a manufacturer of containers to evaluate projected cost increases for materials involved in production and developed a strategy to negotiate significant savings that mitigated and offset much of the anticipated increases.
• For a chemical manufacturer, RICHHI MANAGEMENT SERVICES developed a strategy that enabled the company to realize major cost savings over the long-term by adding a new filtration infrastructure to its existing system. The approach enabled the company to purchase much less expensive chemicals that had a lower level of purity - but then filter the chemicals through the new filtering system to achieve the same high level of quality. Though there was an initial cost to create the new filtering system, the investment was paid off within six months and long-term savings began to accrue immediately.

All together, our cost reduction professionals have provided oversight in every project area; developing sourcing strategies, performing negotiations, and assisting in the development and implementation of best practices throughout the scope of our manufacturing clients' needs. All told, we have produced an average 18% savings in every category that we have sourced.

Furthermore, because our fee structure is aligned directly to our client's strategic interests, our earnings are contingent on our ability to achieve real savings. In short, our manufacturing clients pay us out of actual hard-dollar savings only after they are obtained.

Strategic Sourcing for Medical Device Equipment & Medical Supplies Manufacturers

RICHHI MANAGEMENT SERVICES can help medical device manufacturers reduce spend and increase savings through strategic sourcing. We provide the solutions for medical device & diagnostic organizations to drive innovation.

Medical device manufacturers and medical equipment manufacturers are under increasing competition from new low-cost manufacturers and must find ways to further reduce their costs of goods sold (COGS). Visibility into your organization's spend and optimization of the supply base is key to navigating and obtaining your spend reduction goals. However, doing so requires additional strain on your already lean procurement and sourcing groups and often requires buy-in from your engineering and marketing departments.

That is where we can help. RICHHI MANAGEMENT SERVICES has been providing strategic sourcing and procurement consulting services to medical device and diagnostics companies since 1992. We act as an extension of our clients' teams, supplementing their time and expertise with experience, market intelligence, technology, processes, and people.

At RICHHI MANAGEMENT SERVICES, we partner with medical device manufacturers to develop strategies that drive supply chain performance and value in order to ensure a competitive advantage. We help you implement proven end-to-end product lifecycle management (PLM) and total asset management (TAM) techniques. We understand the complexities and unique nature of the medical device industry, and leverage this market intelligence to build long-term strategic relationships.

• We adapt to your company's culture, and work seamlessly with your stakeholders and key decision makers to analyze and implement purchase price variance (PPV) and Value Analysis/Value Engineering (VA/VE) cost reduction activities.
• We're adept and experienced in navigating the engineering-led culture of medical device & equipment manufacturers. We can provide sourcing expertise for all levels of manufacturing from sub-assembly, to top-level assembly, to finished product builds.
• Our on-demand resource model is flexible and scalable, allowing us to ramp up or down depending on your needs and trends within the industry.
• We can offer full-scale sourcing services or can enhance segments of the sourcing process, from the data collection and supplier identification process to market assessment and contract negotiations.

Our strategic sourcing services for medical device companies cover direct materials in a variety of commodity groups:

Direct Materials
• Assessment of Components and Suppliers - RICHHI MANAGEMENT SERVICES will explore potential synergies within the incumbent supplier community to offload or enhance engineering and designing capabilities. We will develop a plan to continuously engage key suppliers to ensure access to new innovation, creating a competitive advantage for our client in the market place.
• Review of Locations and Offshoring/Nearshoring Opportunity - We will evaluate current supply chain and sourcing processes, and document minimum quality standards and capacity specifications that alternative suppliers must comply with. RICHHI MANAGEMENT SERVICES can provide the insight and skills to navigate cultural and technical barriers when evaluating outside countries for resources, if fitting.
• Identification of Opportunities for Consolidation and Alternative Premier Suppliers - RICHHI MANAGEMENT SERVICES will explore opportunities for supplier consolidation within the existing supply base. We will also evaluate other sources of manufacturers who provide cost efficiencies and value adds.
• Needs, Processes & Procedures Assessment - RICHHI MANAGEMENT SERVICES will identify where opportunities exist to improve processes and SOPs by evaluating make versus buy decisions. We will also generate an understanding of current and desired levels of performance and KPIs.

Commodity Groups
• Electronics
• Optics
• Optomechanics
• Optoelectronics
• PCBAs
• Motors
• Cables
• Computers and Power Supplies
• Accessory Kitting
• Pumps and Assemblies
• Pipes, Valves, and Fittings
• Compressors

RICHHI MANAGEMENT SERVICES is the ideal consultant for medical device companies looking to cut spend and maintain their competitive edge. Our strategic sourcing experts can provide the insight and processes to help companies in the medical device manufacturing industry optimize your supply chain, increase supplier value, and reduce costs.

Contact us today to learn more about how we can help your company.

Strategic Sourcing For Mining and Natural Resource Companies

A volatile international market, environment- and technology-driven changes in product demand, and increasing regulations drive the need for cost reduction in the mining and natural resources industries. While demand fluctuates, commodity prices drop, and increased government regulations affect revenue; overhead and operational expenses remain constant. Keeping these costs as low and predictable as possible can help mining operations remain profitable and better plan for future market disturbances.

RICHHI MANAGEMENT SERVICES offers the strategic sourcing solutions and subject matter experts to help mining companies reduce costs associated with mining and natural resource extraction, as well as increase their supply chains value and improve their operational efficiency.

In categories such as mining and natural resources, where regulation compliance and product quality are top priorities, increasing value without compromising service levels is crucial. The lowest cost option is not always the best choice. RICHHI MANAGEMENT SERVICES's strategic sourcing consultants have decades of experience meeting specific requirements like country of origin, certifications, and material quality when sourcing products, regardless of their category, their uniqueness, or the condition of their individual market.

Our team can also help mining and natural resource organizations analyze current spend with a detailed spend analysis, benchmark, or market assessment to identify practical and beneficial savings opportunities. In addition to reducing costs, our strategic sourcing initiatives can increase service levels and develop long-term supplier relationships. Having healthy relationships with suppliers is crucial since innovation is a key factor to the mining and natural resource industry and working at a partner-level with suppliers can secure exclusive rights to a supplier's improved technology and practices.

Once the ideal strategy is determined and presented to a mining client, RICHHI MANAGEMENT SERVICES's strategic sourcing team will assist with successfully implementing those savings programs approved by the client stakeholders. Once a new programs are in place, our strategic sourcing experts we can also assist in tracking compliance to ensure end-user purchasers within an organization are utilizing using preferred suppliers or the appropriate products, and buying under agreement, in order to realize the full savings potential.

RICHHI MANAGEMENT SERVICES has decades of experience developing strategic sourcing solutions for mining and natural resource extraction companies, and has expertise in sourcing a variety of categories critical to these industries, including:

• Heavy Equipment Maintenance
• Chemicals
• Conveyors, Belts and Fasteners
• Filtration Parts
• MRO
• Pipe, Valves, and Fittings
• Safety Supplies
• Vehicle Maintenance Parts and Aftermarket Parts
• Welding Gases and Supplies
• Utilities and Electric
• Environmental Impact Studies & Remediation

RICHHI MANAGEMENT SERVICES's strategic sourcing team has experience within these, and hundreds of other, product categories, along with experience working with the leading suppliers in the mining and natural resource market. As market conditions become more competitive and demanding, the use of market intelligence in strategic sourcing has become increasingly important. Our experience with mining organizations has given us valuable insight into the various suppliers' capabilities, and we can work with you to ensure that the best-suited suppliers are properly aligned to your organization.

Contact us today to learn more about how we can help your organization.

Strategic Sourcing For Pharmaceutical Companies

RICHHI MANAGEMENT SERVICES PROVIDES INNOVATIVE COST SAVINGS THROUGH STRATEGIC SOURCING AND SUPPLY CHAIN MANAGEMENT SERVICES FOR THE PHARMACEUTICAL INDUSTRY

Changes to rebates for Medicaid beneficiaries, ACA concerns, continuing budget scrutiny at organizations like NIH, increased operating costs, and reduced protection for innovative biological medicines are common concerns amongst pharmaceutical companies, on top of the day-to-day organizational issues that every company must deal with. With all of these obstacles, pharmaceutical companies are in need of effective strategic sourcing solutions that will produce valuable supplier relationships and sustainable cost savings while continuing to drive innovative product development in a competitive global market.

Over the past decade the Pharmaceutical industry has experienced a transformation, one that has shifted organizations away from maintaining a robust, internal support team to a model that has truly taken advantage of the opportunities afforded through the outsourcing of non-core activities. The pharma industry itself necessitates this, as revenue streams constantly change, as products go off patent, and as mergers and acquisitions change business objectives. Pharma procurement and sourcing teams feel these burdens as well, operating with leaner staffing models and increasing needs from the business. With little opportunity to add headcount, procurement teams are looking to third party support to meet the demands of their internal stakeholders. RICHHI MANAGEMENT SERVICES provides creative solutions to overcome these challenges.

At RICHHI MANAGEMENT SERVICES, we partner with Pharmaceutical companies, medical device manufacturers and other firms in the field of life sciences and bio-tech to develop strategies that optimize the supply chain while driving value and cost reductions in order to ensure a competitive advantage for our customers. We understand the complex and unique nature of the Pharma industry and leverage this to build strategic relationships that prove valuable in the long term.

Strategic Sourcing for Pharmaceutical Companies: What We Do

Strategic sourcing offers pharmaceutical companies an opportunity to evaluate the current state of their purchasing practices and use our resources to supplement internal teams with people, time, technology, and market intelligence. As one of the nation's oldest and most esteemed strategic sourcing service providers, RICHHI MANAGEMENT SERVICES offers innovative sourcing solutions for our clients, including numerous generic and branded pharmaceutical companies.

• Our strategic sourcing team adapts to your company's culture, and we work seamlessly with your stakeholders and key decision makers to analyze and source pharmaceutical company spend categories.
• Our on-demand resource model is flexible and scalable, allowing us to ramp up or down depending on your strategic sourcing needs and trends within the pharma industry.
• We can offer full-scale sourcing services or can enhance segments of the sourcing process, from the data collection and supplier identification process to market assessment and contract negotiations.
• We support market research activities and can provide project management and strategy development for your pharmaceutical sourcing needs in a multitude of categories.
• Our strategic sourcing team is staffed with subject matter experts with a wide variety of individual expertise. We understand what is important to pharma clients and develop recommendations and solutions unique to their situation.

Contact us today to learn how we can work together to find the right savings solution for your pharma company.

Operating Cost Reduction and Strategic Sourcing Services For Real Estate Agencies and Property Management Companies

Real Estate agencies, property brokerage and property management firms face difficulties in managing their spend due to their decentralized structure. Multiple office locations, mergers, acquisitions, and challenging housing and commercial building markets have spend managers at real estate companies and property brokering firms facing incredible challenges when looking to reduce operating costs and gain tighter control of the procurement process. RICHHI MANAGEMENT SERVICES can help!

A slowdown in the housing and commercial markets, more aggressive real estate competition, and an increase in lending regulations are forcing real estate agencies and property managers to concentrate on their internal cost savings. Real estate companies have already cut costs where they could, lowering overhead and shuttering offices, and are now looking for additional non-compensatory measures to cut costs. RICHHI MANAGEMENT SERVICES has the market intelligence and real estate industry experience to help drive the best pricing and best procurement strategies across dozens of spend categories.

REAL ESTATE BROKERAGES AND PROPERTY MANAGEMENT FIRMS USING RICHHI MANAGEMENT SERVICES'S SUBJECT-MATTER EXPERTISE ARE IMPROVING THEIR EFFICIENCY AND DRIVING HARD DOLLAR SAVINGS TO THEIR BOTTOM LINE.

With a wealth of subject-matter expertise and using proven strategic sourcing strategies, RICHHI MANAGEMENT SERVICES helps real estate companies and property management firms of all types as they reduce their non-compensation expenses while frequently improving their infrastructure and supply chain. RICHHI MANAGEMENT SERVICES can help real estate companies on a per category basis, or can conduct a top-down spend analysis identifying and taking action on the cost savings opportunities across dozens of spend categories. Moving away from tactical buying practices to long-term strategic cost initiatives provides real estate companies with a better ability to improve current and future performance metrics.

RICHHI MANAGEMENT SERVICES has found significant savings for real estate agencies and brokerages across a number of indirect spend categories, including:

• Advertising and Media Buys
• Employment Screenings
• IT Hardware and Software
• Telecommunications
• Facilities Maintenance
• Printing and Fulfillment
• Staffing and Temp Staffing
• Office Supplies, Toner, and Equipment
• Professional Services
• Utilities and Energy

Real estate agencies and brokerages have found that traditional cost savings methods no longer produce the results needed for the current business environment. RICHHI MANAGEMENT SERVICES can help agencies and brokerages not only make cost cutting decisions, but make the right cost cutting decisions that improve supplier relationships. Our cadre of procurement transformation services enhances strategic sourcing practices, from data collection to implementation and ongoing monitoring, and includes solutions ranging from vendor consolidation, to electronic enablement, to change management.

Strategic Sourcing and Cost Reduction for Retail and Wholesale Companies

RICHHI MANAGEMENT SERVICES helps numerous retail and wholesale clients grow market share by increasing cash flow and reducing indirect spend.

In the highly competitive retail industry, pressure is always increasing for retailers and wholesalers to grow while increasing their margins. However, this is easier said than done.

Let's face it, the procurement teams within retailers and wholesalers probably already do a stellar job on the high-volume direct goods and materials and on some high profile indirect spend categories, such as rent. However, it can be challenging for any company to staff experts in every single spend category. Successful retailers are continually improving the buying experience by offering new types of stores, products, and services at an increasingly better value. They also have the less glamorous day to day operational expenses to worry about. Our strategic sourcing services can help. RICHHI MANAGEMENT SERVICES helps retailers and wholesalers increase their profitability and keep up with demand by bringing additional resources, value, time, tools and market intelligence to the sourcing process.

BY INTEGRATING RICHHI MANAGEMENT SERVICES AS A MEMBER OF THE TEAM, RETAILERS ARE ABLE TO EXPAND THEIR TIME AND RESOURCES TO REDUCE SPEND ON COSTLY DIRECT AND INDIRECT PRODUCT CATEGORIES.

Direct Spend and Direct Materials
Whether you run a chain of hardware stores or maternity apparel, chances are you don't have the resources to get to every single direct spend category. Be it finished goods, or the materials and textiles needed to build assembled products on your own, we can help. Rather than hire experts for every single product in your stores, you can rely on RICHHI MANAGEMENT SERVICES's substantial experience to drive savings and quality products into your showcases.

Indirect Spend
RICHHI MANAGEMENT SERVICES's team of experts work in tandem with retailers to build internal capabilities to reduce spend on indirect spend categories, which can amount to 40% of total retail costs. Our proven strategic sourcing methods, our experienced teams, our sourcing technologies and our cross-industry market intelligence provide decreased procured costs, flexible vendor management opportunities, and enhance the collaboration between retailers and vendors. We help to introduce new technologies, new methods, improved contract terms, and expand global retail supply bases. With the expertise of experienced sourcing professionals, retailers can reap the benefits of reduced costs and concentrate on investing in growth and meeting the demands of consumers.

RICHHI MANAGEMENT SERVICES has helped their retail sourcing clients reduce costs across multiple indirect product and service categories including:

• Utilities
• Telecommunications - Wireless (Internet, Data Services, Conferencing Services)
• Travel & Lodging
• Packaging Supplies
• HVAC Contracts
• Merchant Accounts (credit card processing fees)
• Waste Management
• Freight
• Insurance
• Advertising
• Leases and Lease Recoveries
• Market Research
• Office Equipment
• Printing
• Payroll Services
• Safes
• Security Equipment
• Software
• Uniforms
• Janitorial Services & Supplies
• AND MORE

While RICHHI MANAGEMENT SERVICES has been able to produce significant savings within non-product retail spend categories, our expert team is fully capable to source direct products for retailers as well. We have had the opportunity to work with national retailers to reduce their visual merchandising costs and other direct spend categories including store fixtures, merchandise displays, and merchandise categorization supplies. We understand that vendor risk is an important factor and we work with your internal team to proactively identify and avoid vendors with financial and operational risks that could disrupt your supply chain. Our strategic sourcing best practices help retailers align their organization with sourcing goals and objectives that are significant to growing market share.

Strategic Sourcing For Utility and Energy Companies

UTILITY COMPANIES ARE UNDER AN ENORMOUS AMOUNT OF PRESSURE TO RELIABLY MAINTAIN THE NATION'S INFRASTRUCTURE.

For electric, water, natural gas, phone or cable utility companies - the responsibility is immense and especially daunting in the face of a down economy and natural disasters. These utility companies must also look towards the future and find new ways of keeping their systems secure from cyber threats, protecting the environment, and updating ageing equipment.

In order to keep their systems reliable and online, both private and public utility and energy companies must operate like competitive businesses:

keeping costs low and quality of service high. Many utility providers have found that strategic sourcing has helped them to improve relationships with their suppliers, stabilize their supply chains and reduce costs without losing quality.

However, utility companies often do not have the resources to expertly manage every spend category on their own. RICHHI MANAGEMENT SERVICES can help supplement your company's internal sourcing department by providing expert resources with proprietary market intelligence, negotiation assistance, and process improvements.

Utility companies can ensure their supply chain is reliable and achieve significant savings in a number of spend categories, direct and indirect.

RICHHI MANAGEMENT SERVICES has subject-matter expertise in hundreds of spend categories that utility companies buy, including:

• Materials and Supplies including cable, chemicals, rail, tanks, cylinders, valves, and fittings
• Tools and Equipment
• Heavy Equipment Leasing
• MRO Supplies
• Capital Expense Equipment Maintenance Agreements
• Temp Labor, Security and Contractor Services
• Fuel and P Cards
• Telecommunications
• Insurance
• Office Supplies and Equipment
• Payroll Services

Whether your utility or energy company has specific spend categories in mind, or needs a ground-up approach that helps to identify target opportunities, we can help you to optimize your Procurement Supply Chain.