« Back to Category

REO and Selex ES win prestigious global CIPS Supply Management Awards

10/01/2014

REO and Selex ES received global recognition when they were selected as the winners overall and the winners of the Best Supplier Relationship Management Award at the 2014 CIPS Awards Ceremony in London.
REO and Selex ES win prestigious global CIPS Supply Management Awards

Boulder, Colorado – October 1, 2014 – Research Electro-Optics and Selex ES were selected as the overall winners at the 2014 CIPS Supply Management Awards and won the distinguished Best Supplier Relationship Management Award. These two respected awards acknowledge the passion and determination of both customer and supplier to succeed and deliver despite a very challenging situation.  The great success of this partnership is truly a benchmark for larger programs in the industry.

A CIPS Supply Management Award is the most prestigious recognition a company or individual in the procurement and supply chain profession can receive. The Chartered Institute of Purchasing and Supply (CIPS) is a prominent global organization dedicated to promoting and stimulating best practices in the purchasing and supply management profession. Now in their 12th year, the CIPS Supply Management Awards have become the most talked of event in the procurement field. Approximately 1,100 people celebrated excellence in procurement and supply management on Thursday, September 11th at the Grosvenor House Hotel in London.

The journey of turning ‘lemons into lemonade’ began when Selex ES, an international leader in electronic and information technologies, was awarded a strategic contract with a major US government supplier. It was imperative for the success of the program to identify suppliers with extremely high attention to the quality of the delivered product. Selex implemented a novel tactic by employing an optics category 

procurement team. After a supplier assessment search, REO was selected for the production of several high precision optical assemblies. REO proved to be the only successful supplier in meeting the demanding specifications of one of the most complex assemblies awarded. After a successful prototype delivery, REO ascertained that there were systematic issues and processes that were not ready for production. President and CEO of REO, Paul Kelly, offered an ‘open door’ and solicited the support of Selex to resolve the challenges and aid in the improvement of the manufacturing processes. Selex responded and as one judge acknowledged, “The winner showed an impressive approach to supplier management, working hand in hand with the business to deliver real and tangible benefits, owning a problem and working hard to turn a failing supplier around. They showed tenacity and openness when working with the supplier that resulted in a real step change in performance.”

The improvement was dramatic. The action plan implemented by REO and Selex resulted in a reduced defect rate of less than 3% of the original value within six months. Paul Kelly stated “The progress that has been made over a relatively short period of time is an example of what can happen when a customer and supplier operate in the true spirit of partnership.” By the end of the first year, Selex was able to exceed its target delivery to their customer. REO and Selex demonstrated that requesting support does not necessitate negative consequences. It can result in financial and technological benefits for both organizations.  This unprecedented partnership transformed a potentially sour situation into a long term relationship based on trust and respect. Audrey Black, VP of the Advanced Targeting Division of Selex ES affirmed this stating “A successful business relationship is one that is based on openness and trust. REO has completely embraced this ethos and has worked closely with Seles ES to completely turn around all aspects of their business”. As the overall winner, it is apparent that REO and Selex ES have set a new standard in supplier and customer partnerships.  

For more details and a complete list of the other winners and participants, please click here: CIPS Awards

Contact REO to have us start thinking about you. 303.938.1960