Case Studies: Organizational Design


Case Study 1Reducing SKU and brand complexity for a global packaged goods firm

The situation
This global leader in the industrial products market wanted to improve brand clarity and reap supply chain cost savings by reducing SKU complexity. They faced significant challenges including data integrity, a shifting product portfolio and limited internal resources and time. We were engaged to analyze the nature and costs of the complexity, make recommendations on new brand portfolios and cuts and then to assist various teams with the implementation of the reductions.

What we did
Brand strategy, project management, supply chain and financial analysis
  • Collected and categorized each SKU by product category and revenue
  • Developed an analytical framework (including strategic & financial criteria) to cull or keep SKUs
  • Created a revamped brand architecture that also mapped the SKUs to competition
  • Estimated direct and indirect cost savings of various scenarios
  • Project-managed 4 multi-functional teams to make the cuts, including facilitating decision making, providing branding support and assisting with conflict resolution
  • Assisted senior management with defining the business case
Results
The team's combined effort reduced the number of SKUs by 52% generating direct cost savings in excess of $15M and indirect savings of at least double that. The revamped brand architecture eliminated product positioning overlap and improved competitive targeting. Finally, the team's analysis uncovered some incremental savings opportunities in sourcing that are currently being explored.




Case Study 2Developed a new product management system for a Canadian B2B financial institution

The situation
This market leading firm wanted to formalize its product management function to identify under-developed markets, better address client needs and to reduce development costs & lead times. The challenges were a lack of urgency (the Company was having a banner year) and a culture unaccustomed to selling products versus one-off projects. We were engaged to help define the optimal system for their organization and culture, without alienating key stakeholders.

What we did
Stakeholder research, organizational design
  • Performed an internal capabilities and resource audit
  • Reviewed existing industry and external best practices
  • Undertook 20 external and cross-functional interviews to understand needs and risks, and build internal alignment
  • Recommended new structure, process, metrics, and staffing plan
Results
The client decided to implement the recommendations in their upcoming fiscal year. We continue to work in an advisory capacity.




Case Study 3Restructured Canadian software vendor's marketing and sales efforts towards an industry-focused model

The situation
This private software vendor traditionally went to market by building technology and then trying to sell it to existing customers. Slowing growth, squeezed margins and maturing technology required a new approach to developing, marketing and selling products. We were hired to assist them in moving from a sales/technology-driven approach to a market-driven model

What we did
Organizational design, marketing strategy, program implementation, change management
  • Segmented customer base by industry, geography, needs and profitability
  • Performed an internal resource and capabilities audit
  • Explored best practices within the software industry
  • Analyzed all marketing and sales programs for effectiveness and ROI
  • Interviewed 30+ customers, partners and industry thought leaders
  • Analyzed past 2 year customer wins and losses for key lessons
  • Recommended a new organizational structure, process, and execution framework
  • Implemented changes throughout Company
Results
Over 12 months, the recommended changes shifted the Company from a generic marketing and sales model to an industry-based structure focusing on 4 main verticals. This change delivered many benefits including: greater accountability, improved execution, better resource allocation, increased financial discipline, and more relevant product messaging and promotion by industry. Finally, this new approach enabled the firm to recognize and then launch a disruptive vertrical-focused product beyond their core market.
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