PARTNER FOCUS
move the performance forwards. The last two years have been a period of rapid growth and integration, and we’ve learnt some lessons throughout that process. Our aim is to acquire a business in month one, integrate systems in month two, and leave the independence and the ingredients of what made the business great in the first place fully intact. Our plans are to continue to grow from where we are now to an estimate of £800 million next year. If the stars align it could be a billion pounds or more this time next year.”
Stables says that his experience in organic growth will also be useful since the group has a long list of branch locations and targets for sites. “We are talking about organic growth as much as acquisitive growth, with a focus on successful cross-selling collaboration between plumbing and heating, electrical, building and timber specialisms, it’s how customers buy into the brands,” he says. Stables adds that growth isn’t just through opening new branches, like for like business is growing as well. “The same list of 140 branches in three months will be bigger than it was, and 12 months later it will be bigger again, and not just through inflation. We are growing in every direction, and that for me is just testament to how good the management and leadership teams are.” Like other NBG Partners, IBMG holds a set of shared values to ensure that it plays its part in
the development of the buying group as well. “We want to speak as one, whilst recognising that we’re all different,” Stables says. “We all want to put that difference in front of the customer where it is valued. But when we talk to Suppliers, we want to ensure that we have the best commercial agreement. NBG’s purpose is to buy better through strong partnerships with Suppliers. So, part of my role will be to ensure that, via NBG, we are buying at the best possible rates, and can secure the strongest availability for our customers.” The second area that falls under Stables’ responsibility is category management and stock availability management. “In essence, our procurement teams as part of NBG buy it well. Our category teams present it to the customer in an engaging way, at the right price and with the right ranging, adapting to the local markets we have, and our Inventory teams ensure the highest possible availability. Our Marketing team shout it from the rooftops and then our Branch, Sales & Operations teams win the business. That’s what we do, in a nutshell and our Partnership with NBG will facilitate that simple plan.”
Data management also falls into the remit of commercial operations, the importance of which Stables says the entire group recognises, and is working towards a single Product Masterfile. Marketing completes his responsibilities. “If we’re going to have a strong commercial offer, we should have templates on how an IBMG business talks to its customers, and we can bring that to life within our local markets. But we can avoid duplication across the group, for example, if we’re doing a new product launch, price promotion or relaying new product information, we will have vehicles within the group to do that. Adapting those to fit the needs of our local customers is far easier and more efficient than spending hours of work to start again with each brand as we have in the past,” he says. “What we can learn from the Nationals and those corporate entities
January 2022
is that they buy well, they’re very organised, and they have great marketing engines, but, somehow, the message is often lost in translation for the customer. For me, in this role, each of these five key areas, Procurement, Category Management, Inventory, Commercial Operations and Marketing needs to provide something that works for the customer.” IBMG forms a big chunk of NBG’s overall revenue and, moving forward, the aim is to closely align the IBMG team and structure to the NBG category management structure. “I believe that, administratively, NBG are unbeatable. Their hub, and the administrative support that comes with being a member of NBG, is unrivalled. And a large chunk of the IBMG leadership team has been influential in that development,” he says.
“We will bring the intelligence, the structure, education and training we have within the IBMG group, and assimilate that with the NBG Group. I think IBMG also has a lot to learn from its Partners in NBG. We are headed towards around a third of NBG’s turnover so yes, we are sizeable but that’s not unusual and there are similar numbers in other buying groups. The buying group rules preclude any member from having a particular influence or power. We will play our part, but we learn from them and they will learn from us. That’s how the set-up works. You invest your time and efforts as a Partner and you reap the benefits. It’s what a good buying group does.
“At the moment, we don’t lead any CMTs, but we will be playing our part and we will put a specialist buyer in each of the CMTs. We don’t Chair anything or lead anything at present, but, if the opportunity arises, we do want to change this otherwise it looks like we’re not fully playing our part. We don’t want to be seen as though we are taking over, but equally, we don’t want to be seen as coasting and letting the other Partners do all the work. There’s a fine balance to be struck and I’m hopeful that we can achieve that.”
11
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60
