Case studies
Chemicals
A €3-billion specialty chemical business unit of a global chemical company has been able to streamline its customer and product portfolio with the potential of € 80-95 million in complexity optimization.
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Automotive
A.T. Kearney worked with an automotive O.E.M. to combat their rising warranty and complexity costs by addressing product complexity at multiple levels – sub-system / component complexity, assembly process complexity, and build combinations – and is realizing double-digit reductions in complexity.
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Financial Institutions
With product and operation complexity driving excessive costs and poor quality, a financial company engaged A.T. Kearney to work collaboratively in developing a standardization methodology and apply it to two important service lines – reducing costs by 24% and significantly improving customer satisfaction because, for example, processing time for key processes was reduced by 25%.
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Communications & High Tech
The initial assessment for a global high-tech manufacturer revealed a 50% higher platform proliferation than the competition with most revenues and profits derived from only a few platforms, and then to turn around decreasing margins, the team developed a cross-functional approach with a shared vision and actionable plan, specific complexity targets, an agreed-to decision process, and analytical decision tools.
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Consumer Goods
We helped a leading food ingredient manufacturer rationalize marginal SKUs and underperforming clusters from local portfolios to take out US$10 million of fixed cost, and paved the way for a major manufacturing footprint consolidation, which resulted in over US$25 million in savings.
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