Xchanging and Boots sign seven-year £400 million outsourcing contract
Boots, the health and beauty retailer, has appointed Xchanging, the leading business processing services company, to manage part of their indirect spend. Xchanging will be responsible for elements of expenditure in travel, marketing, resourcing, facilities management and workplace services. The contract, which will run for seven years, will see Xchanging manage an annual spend of about £58m on Boots' behalf.
Within this contracted spend, Xchanging will have exclusive responsibility for engaging and negotiating with suppliers, in order to drive through consistent processes and policies, and deliver a lower cost profile.
David Andrews, Chief Executive Officer of Xchanging says: "I'm very excited by this opportunity to make a genuine difference to one of the best known names on the high street. This new relationship with Boots pushes our aggregate deal volume towards £3.5bn in a 12 month period - putting us at the forefront of the European business processing services market."
Julian Coles, Director of Boots Sourcing and Purchasing says: "We have partnered with Xchanging in order to benefit from their proven methodology and procurement skills, to deliver efficiencies that allow us to offer our customers even better value."
Xchanging will also manage the transactional procurement activity, such as order raising and invoice processing within Boots Operational Processing Centre (OPC) in Nottingham.