Procurement, Inventory Management and Supply Chain solutions for the Petrochemicals sector 1
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About us Saudi Maintenance and Supply Chain Management Company (SMSCMC) is a top-tier integrated supply chain services provider for technology intense industries in the GCC SMSCMC was established in 2006 as a joint venture with BAE Systems We aim to provide total Supply Chain Management services for multiple industries including Aerospace and Defense, Land and Heavy Equipment, Oil and Gas, Petrochemicals, Power and Utilities, Maritime and Healthcare Our services provide value for money, timely delivery and efficiencies that bring benefits to our clients
Why SMSCMC? Deep expertise Deep technical knowledge of Procurement best practices, Inventory Management and Supply Chain Management Efficiency and transparency Efficient management and delivery of services Transparent view of costs and performance management Significant and consistent cost savings Highest quality of service Partnership with top quality GCC and European service providers ISO 9001:2008 certified, guaranteeing highest quality of service to our clients Governance according to UK s Corporate Governance Code Government relations Ongoing customer relationships with Saudi Arabian government agencies Commitment to Saudi Arabia, with over 50% Saudization level Ties with Saudi Arabian General Investment Authority (SAGIA) and Ministry of Labor 4
Helping you overcome major challenges Petrochemical companies in the GCC continue to grow rapidly, making big leaps as large new plants and facilities are established. With this fast growth, it is necessary for your company to have its supply chain ready to service parts, material and equipment in time. This dictates optimizing your purchasing, inventory management and warehousing practices. While your company grows, avoiding disjointed and fragmented supply networks is crucial to avoid risks of supply disturbances that result from unavailability of critical materials and spare parts. At SMSCMC, we provide Procurement, Inventory Management and Supply Chain Management Solutions for Petrochemical companies and refineries. Partnering with us means using our experts knowledge and competencies in making you ready to overcome future challenges. 5
Our services in Petrochemicals At SMSCMC, we have a deep understanding of best practices in Procurement, Inventory Management and Supply Chain Management that we apply to provide you with value for money, timely delivery and efficiencies. Procurement We help reduce costs by developing and implementing your sourcing strategy with you We get you the best prices by actively managing pricing and negotiation We save you time by maintaining supplier relationships Inventory Management We will optimize your stock levels and warehouse capacity through demand management and forecasting We will increase transparency and reduce costs by daily monitoring and order management Supply Chain and Logistics We build world-class supply chains using end-to-end supply chain strategies We provide supply chain network design and asset planning We manage third party logistics services and logistics network performance 6
Service coverage We offer customized Procurement, Inventory Management and Supply Chain solutions for Petrochemicals for all facilities including refinery, distillation, hydro-processing, fluid catalytic cracking, coking, octane enhancement, hydrogen production and sulfur removal units. Our procurement services cover a wide range of equipment and parts: Industrial Valves Forged Steel, Cast Steel, Cast Iron and Stainless Steel Globe valves, Gate valves and Check valves. General purpose Ductile Iron, Cast and Stainless Steel, Aluminium and Aluminium Bronze PN16 rated Butterfly Valves, Relief Valves and a range of actuated Ball Valves Industrial Pumps Axially split casing pumps Centrifugal pumps End suction pumps In-line pumps Multistage screw pumps Vertically suspended pumps Process Equipment Filtration (vessels & filters) Heat exchangers Finned tubing Pipe & tubing Pipe fabrications Instrumentation Flowmeters Recording equipment Laboratory equipment Pressure gauge Averaging sensors Safety Products Footwear Head and eye protection Water safety Workwear 7
Our procurement services Procurement strategy development We work jointly with you to design and develop a comprehensive procurement strategy that best caters for your specific situation, guide your procurement decisions and help you reduce your procurement costs Supplier identification, negotiation and selection Our expertise and existing relationships with suppliers enable us to identify, negotiate and get the best prices for you. Once suppliers are selected, our in-house experts develop contracts to derive maximum value Contract management We maintain and manage full lifecycle of contracts with suppliers. We also manage contract renewals and renegotiation to get you the best prices Supplier performance management We manage supplier performance based on set contracts and service level agreements Purchase order management We take charge of your purchase orders, from initiation to delivery. Customer support We provide professional customer support making sure your concerns are addressed and requests are fulfilled 8
What this means for you Reduced material costs and higher value for money Less time to get your orders Higher availability of parts and materials Complete transparency on your procurement spend More time to focus on your core business, while we handle your procurement activities Average of 10% Cost savings on your direct spend (materials and parts) Average of 10% Cost savings on your indirect spend (Labor, systems, overhead) Your direct procurement costs Direct Procurement costs with SMSCMC Your Indirect Inventory Management procurement costs Indirect Procurement costs with SMSCMC 9
Our Inventory Management services Demand and requirements management Our experts continuously monitor, analyze and forecast your demand. This gives you complete transparency which leads to achieving shorter times to fulfill your orders from the warehouse Inventory process standardization We design uniform and consistent inventory policies and categories Stock level analysis and planning We plan and manage your inventory replenishment to ensure constant availability and shorter times to fulfill your orders Stock optimization We ensure optimal inventory levels are maintained to ensure you meet expected service levels Order management We manage materials, equipment and parts orders from initiation to delivery 10
What this means for you Reduced labor and overhead costs less lead time to fulfill your orders Higher availability of parts and materials Complete transparency on your stock More time to focus on your core business, while we optimize your inventory Average of 10% Cost savings on your direct spend ( parts and materials costs) Average of 10% Cost savings on your indirect spend (Labor, systems, overhead) Your direct Inventory Management costs Direct Inventory Management costs with SMSCMC Indirect Inventory Management costs Indirect Inventory Management costs with SMSCMC 11
Our Supply Chain and Logistics services Supply chain network design We develop your network and help you make the best use of different supply channels (from a supplier abroad or a local distributor), balancing your needs with low costs and higher availability Asset planning We plan for the physical and human resources needed to operate your supply chain Supply chain network performance management We continually monitor and manage the performance of the logistics network to identify and asses areas of further improvement Logistics service provider management We manage the relationships with logistics providers to ensure they deliver as per agreed service levels 12
What this means for you Cost savings across the supply chain (procurement, transportation, inventory holding) Shorter lead time to fulfill your orders Higher availability of parts and materials Complete transparency on your supply chain More time to focus on your core business, while we optimize your supply chain network Average of 7% Cost savings on your direct spend (assets, transport, inventory holding) Average of 10% Cost savings on your indirect spend (Labor, systems, overhead) Your direct Supply Chain Management costs Direct Supply Chain Management costs Your indirect Supply Chain Management costs Indirect Supply Chain Management costs with SMSCMC 13
Testimonials Procurement, maintenance and supply chain services for a high profile client The SMSCMC team has provided outstanding and professional procurement and supply chain management services to my company. Throughout our engagement, SMSCMC ensured high availability of parts and components that are critical for our business, on time delivery which satisfied the highest levels of service performance, quality repairs and value for money. Their support is much appreciated and I am pleased to sign a follow-on contract with them for the next four years. 14
Development of an extensive and high standard apprenticeship program for Saudi nationals SMSCMC provided vital support in developing, establishing and executing an apprenticeship program that trains young Saudi candidates to the very highest standards in supply chain management and is recognized by leading chartered supply chain institutes. So far, this 18- month extensive supply chain training program has successfully graduated two cohorts of Saudi Nationals, who have developed their skills in support functions such as project management, sales and marketing, specialized ERP system operation, in addition to core technical skills in Purchasing and Supply Chain Management. The graduates are already employed and filling various business positions within their respective participating companies. We would like to thank SMSCMC for their true dedication and commitment to Saudization and the development of business capabilities within the Saudi workforce. 15
P.O. Box 1732 Riyadh 11441, Kingdom of Saudi Arabia, Tel.: +966 (0) 1 445 9100 - Fax:+966 (0) 1 445 9101 www.smscmc-ltd.com 16