Rompetrol

Rompetrol (a member of the KMG International Group) was proud to be awarded the CIPS Standard accreditation as part of our Procurement Excellence Programme. Here, we reveal the challenges they’ve worked hard to overcome, and how the programme has helped to bring about positive and significant changes to the company.

Procurement department

Establishing a strong procurement pipeline

The KMG International Group operates throughout Europe, North Africa and Central Asia, although its prime footprint is in Romania, Bucharest, Moldova and Georgia. With 6,000 employees, it’s active in oil trading, refining and marketing, with additional operations in exploration and production and other oil industry services.

KMG’s procurement role is expansive. It is responsible for sourcing and purchasing goods and services for all group categories, base operations and internal projects. However, one of the key challenges it’s faced historically is misaligned strategic direction with the organisation’s strategy.

Raising standards

To overcome this challenge, the procurement team – supported by senior management – were keen to put in place robust processes and services that complied with globally recognised standards in procurement and supply. “CIPS is proven to deliver marked development of businesses and significant improvement in professionalism and knowledge. By signing up to the CIPS Procurement Excellence Programme, we were committing to bring about positive changes in performance, attitude and behaviour – as well as improve the organisation’s reputation for excellence across the procurement cycle,” says Arman Kulmanov, Group Procurement Director.

Rompetrol’s journey took just over 12 months to complete. During that time, our independent experts witnessed the ambition and drive of procurement across all five assessment dimensions, as it worked to become a core function and align more closely with the organisation’s strategy and goals. The team embraced a number of improvements and learned a lot along the way, highlighting the value procurement can bring to the wider company.

Committing to continual development

As Arman explains, “CIPS has helped us in a number of ways. We’ve updated our procedures, increased the function’s visibility through stakeholder engagement, and played a greater role in the contract management process. It’s also helped us to identify how we can develop our personnel. For our customers, we’ve built a high level of trust and confidence in a more ethical and professional way of purchasing.”

The CIPS Procurement Excellence Programme

The only assessment of its kind. This independent, comprehensive, procurement-focused award will help procurement to become fundamental to your organisation’s strategic operations. The programme measures your function against our world-class, globally recognised standards, and will act as a catalyst for transformational change to help you achieve sustainable value, meet challenges and drive continuous improvement across five assessment dimensions:

• Leadership and organisation
• Strategy and policy
• People
• Processes and systems
• Performance management