INDUSTRY

KITCHEN

RESULTS

Improved margins (11%)

 New product offerings (10)

 

Improved cashflow

 

Increased ability to meet the market 

 

BACKGROUND

One of New Zealand’s biggest kitchen manufacturers had been experiencing high growth thanks to the building and renovation boom of the last 3-4 years. Though demand was likely to remain high for the foreseeable future, challenges around sourcing materials – compounded by global pandemic disruptions – were increasing too. In response, like many other kitchen manufacturers, the client had begun bulk purchasing and stockpiling key components wherever possible, an understandable move, but one which also increased storage costs, negatively impacted cash flow, and further tested already strained supply chains. 

Solution

Using its extensive manufacturing network, Global Supply Solutions sourced a selection of like-for-like products at better prices, improving margins and providing radically improved consistency of supply for the company. With reduced material costs and greater confidence in delivery times, the client has been able to better take advantage of high market demand.