JAI helped this PortCo grow from a complete lack of standardized buying to a $7M EBITDA uplift.
The Challenge
Trigger
Redundant SKUs and inconsistent purchasing drove down the value of COGS and operational inefficiency across branches, resulting from redundant SKUs and inconsistent purchasing standards.
Status Quo
The PortCo was paying for thousands of similar parts and consumables, each with different pricing, lead times, and handling requirements.
Perceived vs. Actual Need
The client thought they simply needed “better pricing.” They really needed to eliminate complexity and standardize purchasing.
and Environment
Pressure
Sponsors had limited visibility into spend, waste, or leakage.
The JAI Approach
Embedded
JAI worked directly with procurement and operations to identify functional equivalence between SKUs.
Tactical and Strategic
Along with tightening formularies and creating standard kits for various job types or procedures, we built a rationalization framework to identify “preferred” SKUs based on cost, performance, and availability.
The Turning Point
JAI led a cross-functional workshop where field leaders helped select standard SKUs—fostering ownership and reducing pushback against “corporate.”
Results
EBITDA Impact
The PortCo saw a $7M EBITDA uplift driven by price improvements, inventory reduction, and process efficiency.
Operational Efficiency
JAI materially reduced SKU count while maintaining performance and safety.
Behavior Shift
Standardization became the default, with one-off SKUs requiring justification.
