Supply Chain Management Center enables $2 billion in NNSA and DOE EM prime contractor savings
Working together, the sites are eliminating inefficiencies, improving operational cost management, and contributing to a resilient, more agile, and effective supply chain
The Supply Chain Management Center (SCMC), a U.S. Department of Energy (DOE) strategic sourcing program managed by the Kansas City National Security Campus (KCNSC), operated by Honeywell FM&T, recently passed a significant milestone, achieving more than $2 billion in savings in less than two decades, including $1 billion in savings in the last five years by National Nuclear Security Administration (NNSA) and DOE Environmental Management (EM) prime contractors across the country.
“Since 2013, KCNSC has contributed $111 million of the $2 billion in SCMC-enabled savings milestone. Two billion in savings is an incredible achievement. It speaks to the deep commitment KCNSC and the DOE have in being good stewards of taxpayer dollars while supporting an important national security mission,” said Honeywell FM&T President Eric Wollerman.
Founded in 2006, SCMC works collaboratively with prime contractors to offer purchasing agreements and digital procurement tools that can be used by multiple sites across the NNSA and DOE. This saves time by reducing duplication of effort and enabling buyers to focus on site-specific needs. By leveraging a combined $7 billion in annual spending, SCMC can negotiate lower prices, which saves money. SCMC regularly works with more than 26 NNSA and DOE EM sites across the country.
“Collaboration is key. This achievement is proof of what happens when prime contractors work together for the benefit of the enterprise,” said Scott Bissen, SCMC Senior Director.
SCMC helps sites stretch budgets and taxpayer dollars. Savings generated through SCMC agreements and tools can be reinvested into additional site priorities, achieving more mission with existing resources.
“The SCMC is an important part of our business strategy,” said Jacque Coleman, KCNSC’s Director of Procurement. “Our team works hard to be good stewards of taxpayer dollars, and I’m proud of the contribution our team has made to this savings milestone.”
In the 19 years since its founding, SCMC has become a valuable and sought-after enterprise acquisition services provider. Each month, SCMC receives spend analytics data from prime contractors’ purchasing systems to calculate and report total cost savings. SCMC previously achieved $1 billion in enabled savings in 2020. Over two decades, the program has expanded to offer a wide range of sourcing services to meet the needs of the enterprise. Core offerings of the SCMC program include multisite commodity agreements; digital procurement, sourcing and catalog tools; enterprise training through Contractor Acquisition University; a Small Business Program Resource Center to assist site small business program managers; supply chain risk management; and business intelligence.
Learn more about SCMC by visiting: scmc.energy.gov.
