@Risk

September is proving to be a noteworthy month for Kraft Foods.

First, the company was re-named to the Dow Jones Sustainability Index –making this Kraft’s fifth consecutive year on the North America Index and fourth consecutive year on the World Index. Interestingly, Kraft is the only U.S.-based food company to be included in the World Index. (A great article about the company’s sustainability platform is available at Phil Lempert’s blog, Supermarket Guru.)

Then, there was news of Kraft’s surprise overture to buy Cadbury, although no deal has been reached yet.

Now, we’re learning that the company plans to cut its supplier base in half –yes, you read that correctly, in half. It’s estimated that the move will affect over 30,000 companies and save Kraft more than $300 million a year.

With tighter supplier management, North America’s largest food maker can consolidate purchases and streamline processes, all while simplifying a procurement network that has become ungainly as the company acquired numerous smaller businesses over the years.

“We’re narrowing our number of strategic suppliers to fewer than half the current 70,000. We’ll select those that offer sustained competitive advantage and who can grow with us,” Kraft CFO Tim McLevish said at Barclays Capital Back-To-School Conference Wednesday. “We’re reducing this number by standardizing wherever possible. Only where there’s a difference that adds consumer value will we differentiate. We think the cost savings from this alone will be quite substantial.”

And, of course, cost savings may allow Kraft to sweeten its bid for Cadbury? It all seems in keeping with the company’s three-year turnaround plan to create a “new Kraft Foods.”

“During the past two years, we’ve built a solid foundation by reinvesting in our brands, putting a new organization in place and improving our cost structure,” Chairman and CEO Irene Rosenfeld said in February. “As the next step in our turnaround, we’re adding three new ingredients to our recipe for success — a higher purpose that acts as a common call to action, values in action that guide our behavior and a new look and feel to visually depict our renewed energy. Together, they will accelerate our journey from good to great.”

Kudos to Rosenfeld for her vision and determination in leading the turnaround. It’s no surprise that yesterday Fortune announced that she ranks second on its list of the 50 most powerful women in the world.