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Leipomo Primula: 20% Procurement Saving Through Supplier Consolidation

Learn how the Finnish bakery Leipomo Primula has transformed its MRO procurement and consolidated suppliers for 20% savings on all product categories.


Leipomo Primula Ltd. is an artisanal Finnish bakery whose story began all the way back in 1908 in the city of Järvenpää, where the factory is still located. 

Primula’s core values include striving for excellence in every aspect of their work, which is reflected in the choice of raw materials used in the bakery. 

The company specializes in oat and rye products, baking approximately 20 million organic sliced thins per year. Crafted only with genuine sourdough, premium raw materials, and superior baking techniques, these products are then distributed extensively through domestic and international retailers’ in-store bakeries.

Of course, such high levels of production rely on a dependable supply chain.

As Warehouse Manager at the Primula factory, Jesse Ilvasti is tasked with keeping Primula’s day-to-day operations running smoothly. In his role, he oversees the procurement process, making sure Primula’s stock levels are optimized, and preventing raw materials and supplies from becoming obsolete. 

However, with the food industry being so strictly regulated, finding the right MRO supplies for production that fit the stringent product standards at competitive prices can be a challenge.

This is the success story of how Jesse managed to score 20% savings on Primula’s MRO procurement while gaining more time for himself to focus on inventory management and overall operational efficiency. 


The challenge: Time-intensive Supplier Management 

Like many other professionals tasked with procurement, Jesse found himself spending a great amount of time sourcing the right MRO supplies essential for production (e.g. disposable gloves, face masks, eye protectors, ear protectors, cleaning tools). His efforts were dedicated specifically to comparing catalogues and prices, a process complicated by the lack of standardization in how suppliers classify and describe their products.

“Searching and comparing products on several different websites is the most time-consuming aspect of procurement,” Jesse reports.



“Searching and comparing products on several different websites is the most time-consuming aspect of procurement.”

Jesse Ilvasti, Warehouse Manager at Leipomo Primula




Additionally, the extensive range of MRO needed in the food industry often forced Jesse to juggle multiple specialized suppliers, as no single vendor could offer the complete range of products he needed. 

This fragmentation in sourcing not only complicated logistics but also required Jesse to invest significant time and effort in managing multiple vendor relationships. 

Each supplier had their own specialized catalogue, delivery terms, prices and ways of doing business, which placed additional pressure on Jesse to guarantee that every purchase decision was aligned with Primula’s operational requirements and delivery schedules to avoid disruptions.



The solution: One Single Source For MRO Procurement

Jesse’s MRO procurement strategy changed when he discovered Droppe. 

After exploring Droppe’s comprehensive catalogue and volume deals, Jesse decided to place a trial wholesale purchase for a specific type of work gloves. 

The first test order went well and gave Jesse a glimpse of how Droppe’s extensive catalogue including 160+ vetted suppliers could help him streamline Primula’s buying process by easily comparing over 150,000 standardised products, prices, volume deals, and delivery terms all in one place. Droppe’s uniform approach to listing products, regardless of the supplier, means that all items are presented with consistent specifications, which made it easy for Jesse to compare them side by side and find exactly what he was looking for without worrying about juggling different vendors.

Since then, Jesse has been relying on Droppe for Primula’s MRO procurement, expanding his wholesale purchases from work gloves to several product categories like face masks, hearing protectors, overalls, cleaning tools and wipes

“Droppe has helped me centralize my MRO purchases efficiently and has positively surprised me with its product range.”

All in all, the real game-changer for Jesse has been Droppe’s ability to bring hundreds of vetted suppliers together in one practical platform. This means that Jesse can now view, compare, and choose from various supplier catalogues, volume deals, and delivery conditions all in one place. 

This consolidation has not only helped streamline Primula’s MRO procurement process but also led to considerable savings.




“Droppe has helped me centralize my MRO purchases efficiently and has positively surprised me with its product range.”

Jesse Ilvasti, Warehouse Manager at Leipomo Primula






The Results: From Several Sources To One

While in the past Jesse had to juggle negotiations with multiple suppliers, now he finds everything he needs in one single platform where it’s easy to compare products, volume discounts, delivery terms, and buy from different suppliers with one consolidated invoice.

“With Droppe, we have centralized our procurement going from 5 different suppliers to one single source,” Jesse says. 

“Now, I have more time to focus on my core business activities and other extra tasks as well. For example, when my colleague went on parental leave, I was able to take on her responsibilities with the time Droppe helped me save on procurement.”




“With Droppe, we have centralized our procurement from 5 different suppliers to one single source.”

Jesse Ilvasti, Warehouse Manager at Leipomo Primula






However, Jesse’s savings go beyond just time.

“The monetary savings have been substantial, we’re talking about 20% on all the product categories I buy via Droppe.” 

Jesse states that he will continue sourcing his MRO products via Droppe in the future, as his goal is to consolidate even more product categories in one single source. 

As Droppe’s catalogue keeps on expanding every week, the team at Droppe is confident that Jesse’s requirements will always be met. During this interview, Jesse mentioned being on the hunt for a specific model of work shoes, and his dedicated Supply Chain Manager from Droppe was happy to communicate that the product has in fact already become available in Droppe’s catalogue. 



Conclusion

​​Droppe’s impact on Primula’s procurement process has been transformative, leading to savings of 20% on all product categories bought via the marketplace. 

Additionally, Jesse can now access a range of 160+ vetted suppliers all in one place, which has drastically reduced the time he previously had to spend on managing multiple vendor relationships. As a result, Jesse has reclaimed valuable time in his busy schedule and can now concentrate more on his core business activities. 

When asked if he would recommend Droppe to other professionals tasked with procurement, Jesse replies: “Absolutely. I would advise other procurement professionals to take a look at Droppe’s extensive catalogue and look for consolidation opportunities.” 



The monetary savings have been substantial, we’re talking about 20% on all the product categories I buy via Droppe.

Jesse Ilvasti, Warehouse Manager at Leipomo Primula





Whether you’re running a bakery, a restaurant, or a food manufacturing facility, we understand that having a single, consolidated source for all your MRO supplies is key to keeping your operations running smoothly. Of course, we also understand that like many other procurement professionals worldwide, you must work within a budget.

1000+ satisfied MRO buyers are now relying on Droppe for their procurement needs, so check out our industrial catalogue including 160+ trusted European suppliers and their selections. 
If you need assistance with sourcing the best products for your use cases or to streamline your procurement, get in touch with your dedicated Supply Chain Manager and let’s work together to find the best solutions for your unique needs – all free of charge.

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July 11, 2024
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