Energy giant Eon has named assets and supply chain head Graham Line as its new UK head of legal in a move that is intended to overhaul how the company structures its legal spend across Europe.
Line, who was previously responsible for the company’s procurement team, succeeds James Jones in the role.
It comes as the energy giant has finalised a property panel review that saw it include a planning section for the first time. Eon held a blind online auction tendering scheme for the property work with Eversheds and Field Fisher Waterhouse being appointed for tier one, Shakespeares and Wright Hassall for tier two, and Bond Pearce, Eversheds and Squire Sanders winning spots on the planning panel.
For the first time the company has created a Scottish panel, adding Shepherd and Wedderburn to its roster of advisors.
Strategic sourcing specialist Anne-Marie Amatt led the panel review, having shaken up Eon’s UK legal procurement policy three years ago. Speaking at a Chartered Institute of Purchasing and Supply (CIPS) conference last week, Amatt revealed that Eon had cut its legal spend by 20 per cent over the past three years by introducing formal procurement policies.
The company used blind e-auctions to test the suitability of tendering firms in this latest exercise. Applicant firms first had to compete on rates, allowing competitors to see their bidding price but not the firm name. Those successful in the first round were then asked to compete on value.
Until now the procurement model has only been used for the UK panel, but Line is expected to roll it out across Eon’s European operations, including in Sweden, Romania and Germany following the company’s savings in the UK.
Amatt also said the company, which has applied procurement policy to approximately 80 per cent of its UK legal spend, would look to standardise the remaining 20 per cent.
Tendering firms are asked to complete on a number of measures, including demonstrating how they are committed to cutting their carbon footprints in line with Eon policy.
Amatt commented that Eon’s aim was to get “best value” from its panel firms, whether they be traditional firms or ABS structures.
“The strategy is not set in stone,” she added. “We may include new entrants to the market place. It’s a buyers dream to have new entrants to the market place.”
For more on Eon’s procurement policy see here.