Lids Inc. partners with Proactis to improve its Sourcing processes

01 September 2020 - Proactis, the global spend management experts, today announced that American retailer, Lids Inc., has selected Proactis Sourcing Managed Services to identify and engage with new suppliers.

Lids Inc. is an American retailer specializing in athletic headwear. It primarily operates under the LIDS brand with stores in the U.S., Puerto Rico and Canada. The majority of the stores operate in shopping malls and factory outlet centers.

Sourcing is currently performed through a traditional, manual RFP (Request for Proposal) process. The Procurement team identifies a certain number of suppliers and negotiates directly with them. The team then evaluates the best quote and awards the job. It is a very resource-intensive, time-consuming process.

Lids started the process of identifying ways to find new sources of supply that its team may not have had exposure to, with the main goal being savings. After evaluating Proactis’ Managed Sourcing Service through a proof of concept pilot program, Lids found that the managed services approach would maximize the efforts of its internal team, promote best practices and provide access to new suppliers.

Lawrence Berger, Chairman of Fanzz Lids Holdings, said: “After test events and discussions with Proactis, we are confident that its Sourcing Services will give us access to knowledge and best-in-class tools to expand and optimize our sourcing efforts and enable us to find and secure new opportunities to deliver greater value.”

“The retail sector is currently experiencing squeezed profit margins, so creating opportunities to generate value and savings is vital. The key for success is to identify the right combination of technology and services to create a well-rounded sourcing program.” said Len Kaplan, Vice President Managed Sourcing Sales at Proactis. “We are delighted to welcome Lids Inc. to our portfolio of retail customers and look forward to delivering savings.”