A 20% Reduction in Purchasing Times for IBEX 35 listed Spanish Bank Bankia


A 20% Reduction in Purchasing Times for IBEX 35 listed Spanish Bank Bankia

Improving transparency by implementing sustainable and fair supplier management

The Challenge

Bankia’s business objectives were to sell products and maximize its profitability. However, to achieve these goals, the company’s purchasing area needed to support its objectives. For this, it was essential it reached the highest possible levels of flexibility, agility, and speed. It was also necessary that, when collaborating with suppliers, the Bankia implemented measures to ensure transparency and the protection of its suppliers in the event of possible conflict. 

Eraneos was on hand to help the company implement the necessary changes. With  purchasing services under continuous review, Bankia was undergoing an automation process where it was vital to eliminate inefficiencies and waste. Therefore, we knew when starting the project that the transformation program should focus on the redesign of processes and automation to help its customers feel like they have ownership over the new mechanisms. And so we got to work. 

“The recent evolution of the relationship with purchasing is characterized by the fluidity of communication.”

The approach

Our starting point in this project was to work from the lean IT philosophy, using this as a true engine of transformation to seek agility, transparency, quality, and, above all, customer value. The main goals here were to reduce shopping time and costs, improve communication and transparency, and ease of use. To achieve these objectives and support the transformation program, we introduced “voice of the customer” workshops, lean workshops to identify the process flow, Kaizen sessions, and visual management boards. A scorecard was also created to ensure objectives were complied with. 

Bankia is a Spanish bank with headquarters in Valencia and Madrid. Founded in 2010, it is currently listed on the Madrid Stock Exchange and on the IBEX 35.

The result

After completing the project, Bankia’s purchasing times were reduced by 20% and productivity tripled. Before working with Eraneos, Bankia had a team of 37 people that managed €650 million. A year later, a team of 25 was able to manage more than €1.3 billion while giving them more free time to get closer to the business areas of the company and improve communication with suppliers. Mechanisms were also applied to achieve the company’s highest-ever rating in the GRI index, and its global score in the Dow Jones increased from 69 to 74.

Let’s create sustainable change together.