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Build Care Oy: Turning Product Shortages into 20% Savings

Read how the Finnish company, Build Care Oy, overcame product shortages and achieved a 20% cost savings in collaboration with Droppe.

Build Care Oy is a Finnish company that has carved its niche in the field of protective coatings protecting buildings and infrastructures. At the core of their operations is a patented, breathable ElaProof surface coating technology. The product is based on a groundbreaking innovation in polymer chemistry, which is isocyanate-free and can provide protection for decades.

Build Care’s mission is driven by a deep commitment to sustainable development, encompassing the three pillars of social, economic, and environmental responsibility. To achieve this, the company manufactures ElaProof products in Finland, sourcing the majority of its raw materials locally. On top of that, the products are not only provided with ecological packaging but are also safe for installers and end users. 

A journey to streamlined procurement

As the company’s Deputy Managing Director, Mikko Araviita plays a multifaceted role in the business. His responsibilities extend from supporting marketing and sales to finding optimal solutions that drive profitability and elevate the company’s status in the market. 

For Mikko, the strategic significance of mastering procurement lies in the ability to drive cost-effectiveness, optimize resource allocation, and maintain optimal levels of production, among others.

However, procurement comes with its own set of challenges, and Build Care was presented with two significant ones. Namely: 

  1. Susceptibility to global disruptions such as shortages and inflation
  2. Lengthy and resource-intensive sourcing processes

Despite these hurdles, Build Care succeeded in keeping its stock of vital raw materials and packaging materials consistently replenished and its procurement costs competitive.

This is their success story.

Dealing with scarcity and lengthy sourcing processes

In 2020, the outbreak of the pandemic triggered significant disruptions in supply chains on a global scale, leading to a scarcity of raw materials, packaging materials and subsequent price inflation. 

These shortages included the particular barrels that Build Care used to safely store and sell their ElaProof products – a vital component to their business. Due to scarcity, procuring barrels from their previous supplier became both risky and cost-inefficient. 

The inability to supply the same quantities of barrels coupled with the price increase posed a tangible threat to Build Care’s ability to maintain its production and end price. 

Mikko had no alternative but to seek out new suppliers, which presented a taxing challenge. The process of identifying, evaluating, and establishing relationships with new suppliers often led to a dead end, with sporadic responses and a lack of follow-through. 

The situation was less than ideal, with lots of effort spent on searching for and negotiating with multiple suppliers and little time for Mikko to focus on his core business activities.

All in all, Mikko realised the need for a comprehensive solution to streamline Build Care’s procurement process, and enhance cost and time savings, while also improving risk management.

That’s when Droppe stepped in.

From shortages to 20% savings on essential supplies

Faced with mounting challenges, Build Care turned to Droppe. 

Mikko’s choice was mainly influenced by Droppe’s cooperative approach in sourcing the best barrels for their use cases, competitive pricing, and extensive product catalogue including 100+ European suppliers. 

Mikko reports that transitioning to Droppe was not only seamless but also immediately beneficial. In fact, thanks to Droppe’s competitive offer on barrels, Build Care was able to enhance its profitability from the start. 

Moreover, the time previously invested in searching for suppliers and requesting quotes was redirected towards the development of their core business, leading to significant operational improvement and savings.

“From a time management perspective, this was a great solution for us,” says Mikko “We saved over 20% on product procurement!” 

Last but not least, Mikko has also praised Droppe’s dedicated supply chain expert who has offered free personalised assistance from day 1, ensuring prompt and tailored support whenever needed. So much so that, when asked whether he would recommend Droppe to other wholesale buyers, Mikko replies: 

“Absolutely, when you want to save time and money, choose Droppe. Let them do the tendering work for you, the results will show!”

“From a time management perspective, this was a great solution for us. We saved over 20% on product procurement!”

Conclusion

During times of scarcity, inflation and time-consuming sourcing, Droppe emerged as a dependable ally for Build Care, helping them navigate the complexities of procurement and purchasing essential supplies in wholesale quantities without a hitch. 

Additionally, when professionals like Mikko can free up their time from the day-to-day grind of sourcing and negotiating with multiple suppliers, they can focus on higher-value tasks that drive growth and profitability. 

All in all, by cooperating with his dedicated supply chain expert Mikko was able to: 

  1. Ensure a consistent supply of the barrels essential to safely store and sell ElaProof products.
  2. Turn crisis into an opportunity by achieving staggering procurement cost savings of 20%.
  3. Delegate sourcing to a trustworthy partner for free and invest his time in other core business activities.

“When you want to save time and money, choose Droppe. Let them do the tendering work for you, the results will show!”

Mikko Araviita, Deputy Managing Director

1000+ wholesale buyers from a vast array of industries are now relying on Droppe for their procurement needs. 

Explore our comprehensive catalogue featuring 100,000+ products sourced from over 100 trusted European suppliers. Whether you’re looking for cost-effective supplies for your use cases, or desire to streamline your procurement processes, we’re here to help you.

Reach out to your dedicated supply chain expert and let’s work together to find the best solutions to satisfy your unique needs. Our consultations are entirely free, as we believe in the principle of mutual growth; our earnings are tied to your gains from better purchases facilitated by our support. 

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July 17, 2024
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