Enterprise Cost Reduction
Even in times of growth, a more agile, cost-effective organization is often essential.
There are many symptoms that drive the cost reduction agenda: margin compression, unsustainable headcount growth, slowing markets, M&A, adverse exchange rates, struggling business models, etc. Yet the goal is usually consistent: achieve a lean cost base with a continued emphasis on profitable growth.
We help clients address the underlying root causes of inefficiencies and escalating cost. It starts by defining a cost baseline for the ‘do nothing’ scenario, followed by a quantification of the biggest cost drivers. Current performance is then compared to leading practices and external benchmarks to set targets and identify a long list of opportunities - which are further evaluated via a rigorous, cross-functional analysis of business operations leveraging activity based accounting, lean six sigma and target operating model methods. The outcome of the exercise is a company-wide identification, implementation, and ultimately realization of business efficiencies.exercise is a company-wide identification, implementation, and ultimately realization of business efficiencies.
We help you make lasting, structural changes that result in higher performance at lower costs.