Capacity Expansion & Capital Procurement

Getting capacity expansion plans right can be difficult, especially in a volatile market environment. While under-expansion can frustrate customers and give a free-ride to competition, over-expansion can cause a business to collapse under its own weight.

Well-calculated capacity expansion is thus a crucial existential process for any business. And getting it right depends as much on effective expansion planning as it does on effective implementation. This is where GEP brings in all-round value – by providing the right tools and insightful analyses for effective planning, as well as driving the actual implementation. With GEP’s comprehensive capacity expansion services you’ll get:

  • An exhaustive expansion plan – right capacity at the right location
  • Effective expansion implementation – right time-frame at the right cost

 

By leveraging the experience of working with hundreds of Fortune 500 and Global 2000 clients GEP has developed a comprehensive methodology for identifying the right capacity for expansion. Our experts guide you through product demand forecasting, optimal plant capacity, TCO feasibility studies and multi-factor scenario analysis to arrive at the right solution.

  • Expanding an existing plant (Brownfield) vs. building a new plant (Greenfield)
  • Co-location of upstream vendors vs. co-location of downstream warehouses
  • Integrated manufacturing vs. distributed manufacturing vs. co-manufacturing
  • Provisions for future expansion vs. cost of current expansion

Get customized inputs on macroeconomic indicators, market trends and insights as well as specific qualitative information regarding utility and labor supply at each potential location from GEP’s market intelligence teams to build a robust business case for the project.

GEP’s deep expertise in virtual network optimization, logistics benchmarking, real estate market research and key raw material benchmarking, helps you identify the right location for your new plant or store. You’ll get a clear picture of all the inbound and outbound overheads associated with each potential location.

As one of the leading strategic sourcing providers, GEP brings tremendous value to expansion implementation. We help you achieve capital cost reduction targets and timely delivery of all procured goods and services. GEP drives the sourcing of all partners, services and materials required for the expansion, working proactively with your project management team.

  • Identifying and evaluating partners such as civil contractors, architects and engineering consultants
  • Identifying and leveraging all government incentives and benefits available to the project
  • Running the process of end-to-end procurement of all goods and services required by the project – from creating package structure and scope to tendering, negotiations, contracting and expediting

GEP can also help you effectively plan and execute plant closures or routine maintenance shutdowns.

Capital procurement requires great planning and even greater persistence – right from identification of the site to plant inauguration. The procurement of capital equipment can lock up substantial working capital for extended periods of time.

Capital project procurement categories are also very diverse, from basic civil services/materials to ancillary equipment to building construction to process equipment. GEP extensive expertise in strategic sourcing covers all the nuances of capital procurement including low-cost country sourcing, value engineering, feature benchmarking, payment structuring and Total Cost of Ownership (TCO) analysis.

Get the right goods and services for your project, at the right cost and at the right time.

GEP offers tailor-made solutions for each phase of the project procurement process. Our expert negotiators ensure that all services and goods are procured at the least possible cost and with favorable commercial terms. Diligent expediting ensures that these goods and services are delivered on time without any hold-ups.

 

Learn how GEP can help your company.Contact us today