Case Study: From Transactional to Strategic: Transforming Procurement at Argent Energy

18 Dec

Posted by: Warren Kozera

Category: Case Studies

Argent Energy faced a procurement process that was more transactional than strategic. Barkers stepped in to streamline operations, unlock savings, and create capacity for strategic procurement.

Barkers partnered with Argent Energy to review their processes and systems for ordering and paying for goods, services and works. We helped Argent identify process improvements and savings opportunities, implementing a cost-saving procurement strategy that could be applied across core business areas. Beyond immediate benefits, our work freed the team to focus on Supplier Relationship Management (SRM) and strategic procurement activity, transforming the function from transactional to value-driven.

Challenge

Argent’s existing ways of working and team structure were largely tactical and transactional. The team primarily focussed on reviewing quotes and raising purchase orders, leaving little time for strategic initiatives. The challenge for Barkers was to support Argent in streamlining processes, improving systems, reducing costs, and enabling the procurement function to operate more strategically.

The team also lacked formal procurement policies, standardised processes and clear governance mechanisms, which limited their ability to negotiate savings, manage supplier performance and track opportunities for improvement.

Solution

Barkers conducted a thorough procurement review, interviewing stakeholders across the business, and developed a six-month plan to strengthen Argent’s procurement strategy. Our work focussed on four key areas:

Procurement Policy and Procedures – Barkers implemented a comprehensive suite of procurement documentation, including a Procurement Manual and contract templates for goods, services and works. We established new policies, clarified expectations, introduced priority-based workflows and eliminated duplication of activity.
Savings Opportunities – Barkers provided category-specific market intelligence, identified cost-saving opportunities and negotiated improved pricing. We introduced a rolling procurement programme to tender addressable spend every three years, supported tenders on-site from scope to delivery, and streamlined purchase order processes for high-volume suppliers.
Governance and Reporting – Barkers introduced Power BI to improve visibility of spend, savings and performance. Standard KPIs were added to key contracts and reported through a balanced scorecard to drive continuous improvement.
Right-Size Review – Barkers supported the transition from a Purchasing function to an Indirect Procurement function. Following training and development, the team now focuses on business partnering with stakeholders rather than administrative processing.

Result

The procurement transformation delivered clear, measurable benefits for Argent Energy, improving both financial performance and the strategic capability of the team. As a result of Barkers’ support, Argent achieved the following outcomes:

Formal tenders delivered measurable savings while reducing commercial risk.
Strategic supplier engagement enabled the team to focus on higher-value procurement activity.
The team now has more time to focus on Supplier Relationship Management, ensuring the long-term success of contracts and sustained value delivery.

“The Barkers Led Procurement transformation at Argent had an immediate positive impact. The Barkers team positively engaged with the business and helped deliver procurement improvements to the indirect categories of spend. These changes enabled a step changed for how procurement was viewed across the business.” – Nicola Dean, CFO, Argent Energy

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From Transactional to Strategic: Transforming Procurement at Argent Energy – Case Study

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Tags: Procurement Services - Case Studies, Utilities - Case Study

Author: Warren Kozera