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Sourcing Desk & Should-Cost Modeling
Sourcing engagement for a Midwest food distributor
Scope:
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$120M of food, beverage, and packaging spend
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Sourcing desk model with weekly CFO governance
Approach:
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Stood up a sourcing desk with defined process, KPIs, and a weekly governance cadence with the client CFO
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Built index-based should-cost models (USDA, CME, UB, CPI) to anchor negotiations against real market movement
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Applied AI-enabled market intelligence to generate sourcing insights and challenge supplier pricing in real time
Result:
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$11M in savings on $120M of managed spend within the first year
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Data-driven negotiation approach anchored in commodity market indices
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Repeatable sourcing desk model the client can run going forward
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