Universal Music renews award winning procurement partnership with Proxima
Mar 1, 2011 9:24:00 AM
LONDON, UK – 01 March 2011. Proxima, Europe’s largest procurement outsourcing specialist, today announced the renewal of its partnership with Universal Music UK, signing an extended three-year contract worth in excess of US$2 million.
Proxima has been working with Universal since 2003 to improve business performance through better procurement practices, including active cost management and the realisation of resulting savings. The company will continue to oversee the management of Universal Music’s indirect expenditure, ranging from media and creative services to facilities and overhead costs.
Proxima will also be responsible for a wide range of strategic and operational responsibilities such as the development and delivery of procurement strategies, stakeholder and supplier relationship management, strategic and tactical sourcing, contract management, spend analysis and risk mitigation for all Universal Music operations in the UK.
As both businesses and public sector bodies focus increasingly on procurement to drive organisational efficiency and effectiveness, many are turning to specialists to help to improve performance by implementing enhanced buying processes and behaviours. Proxima has a strong track record of working with a wide range of blue chip clients and changing underlying attitudes to buying. Through aligning procurement more closely with overall business objectives, Proxima and Universal Music UK have generated long term, sustained savings, which comparatively outperform the returns delivered through cost saving programmes.
The Universal UK account will continue to be managed by Paul Denyer, engagement manager at Proxima. Paul has led Universal Music’s engagement in the UK for two and a half years.
Proxima CEO Matthew Eatough commented : "Renewal of our relationship with such a highly valued client is a strong endorsement of the progress that we have made together. Through working closely in partnership with our clients, we can deliver extraordinary results. In addition to significant cost savings, we have encouraged the introduction of new buying behaviours and processes, which enable Universal to achieve the best levels of value over the long term.”
Universal Music UK’s CFO, David Bryant, commented: "The primary objective of our partnership with Proxima is to develop and implement an effective long-term procurement strategy. Today, we have superior strategic procurement processes in place that continue to deliver sustained improvements to our business.”
FTI Consulting, for Proxima
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About Universal Music UK
Universal Music UK is a division of Universal Music Group, the world’s leading music company with wholly owned record operations or licensees in 77 countries. Its businesses also include Universal Music Publishing Group, the industry's leading global music publishing operation. Universal Music Group is a unit of Vivendi, a global media and communications company.
The scope of the work done by Proxima focuses on improving business performance through procurement, active cost management and savings delivery. Services delivered cover the management of all indirect spend ranging from Media and creative services to facilities and overhead costs. Services provided span the spectrum of strategic and operational responsibilities such as: procurement strategy development and ownership, business partnering to manage stakeholders and drive change, opportunity identification, strategic and tactical sourcing, category management, contract management, supplier relationship management, spend analysis and risk mitigation for all Universal Music operations in the UK.
This contract represents an extension of Proxima's "award winning" relationship with Universal Music; this partnership received a CIPS award in 2005 and Outsourcing award in 2007.