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Strategic Landscape Assessment

A manufacturing company attracted the attention of a global customer, who placed an initial order equivalent to six times the original annual production. If the order was completed to the agreed upon terms, the client would continue ordering increased amounts for the following 5 years. The company had to quickly increase the capacity which they did by prioritizing the hiring of people and making targeted capital investments. However, this rapid growth impacted their organizational culture and overall effectiveness. These challenges prevented them to reach their goals in the expected time frame.

Solution

  • Conduct our strategic landscape assessment in order to determine the areas that presented the major challenges.
  • Weak areas would be further evaluated through a deep dive operational assessment to identify improvement opportunities.

Approach

  • Created a leadership task force to revisit the mission and values, ensure accuracy, and address any needed modifications.
  • Conduct a deep dive operational assessment, focused in the day to day utilization of man, materials, and machinery. Findings from the operational assessment were validated against the updated mission and values, to prioritize improvement opportunities.
  • Developed an improvement roadmap plan with prioritized improvement recommendations (including process re-engineering, Lean, and 6σ initiatives).
  • Redesigned and implemented Key Risk and Key Process Indicators (KRI & KPI) to track progress.
  • Designed customized supplier relationship program to carefully manage relationships with critical suppliers.
  • Establish a governance process to foster transparency and accountability.

Supplier Relationship Management

Organization was undergoing extreme expense management measures. The strategic sourcing organization was struggling between the need to bring innovation to the organization and reduce the cost of new products/services acquired. The team understood that some suppliers had reduced the price of key products to break even point to maintain the account, but this was neither scalable nor sustainable.

Solution

  • Identify suppliers that provided key strategic products and/or services to the organization.
  • Work in collaboration with strategic suppliers to explore opportunities to provide mutual value

Approach

  • Developed a comprehensive report detailing the purchases that composed 80% of the expenses.
  • Developed standardized criteria to determine critical vs non critical products and/or services, and identified the suppliers for critical products and/or services.
  • Developed a comprehensive program to manage critical suppliers, with the goal of elevating the relationship to a partnership rather than a commercial transaction.
  • Established a disciplined governance process, to enhance internal cross functional transparency and accountability.

Operational Effectiveness

Company had grown organically over 2 decades in business. Over the years they had accumulated multiple processes and technologies that supported the delivery of various products and services. A handful of acquisitions increased the challenges. Overhead costs were at an all time high but it was nearly impossible to determine specific pain points or progress towards strategic priorities due to the lack of operational controls. With the imperative to maintain quality, the cost was starting to be passed down to the customers which impacted the ability to easily obtain new accounts.

Solution

  • Conduct a comprehensive operational assessment in order to determine process re-engineering opportunities.

Approach

  • Developed a project team composed of internal subject matter experts and the Precixa team.
  • Engaged the organization’s leadership team by selecting a representative to act as project sponsor and report weekly to the CEO.
  • Developed a detailed plan that included the development and implementation of recommendations based on internal capabilities and culture.
  • Established a disciplined governance process, to enhance internal cross functional transparency and accountability, as well as the monitoring of customer satisfaction metric to assess customer impact.

Change Management

Organization had grown through multiple acquisitions. Over the years they had accumulated multiple processes and technologies that supported the delivery of various products and services. Overhead costs exponentially increased with every acquisition and employee engagement was at an all time low. As a result customer complaints started to increase, and the company lost the ability to retain new clients. It was time to change.

Solution

  • Embark in a multi-year transformation including the re-engineering of their internal processes and the consolidation of their various systems.
  • Engage their employees as part of designing the solution and drive change.

Approach

  • Assembled a cross functional project team with representatives of the impacted business areas (change champions).
  • Engaged the organization’s leadership by assigning a sponsor to each project's phase.
  • Developed a robust change management strategy in parallel with the design of the implementation plan.
  • Deployed a strong communication and training plan, including bi-weekly updates to the organization and a 70/20/10 learning model.
  • Established enhanced governance process with weekly updates to the president.

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