Strategy Development Under Pressure
The market situation jeopardizes the operating result - and thus, endangers the future of the site
Situation:
Our client's world is in a state of upheaval... As a production site with a broad variety of products, the location has a long and successful history. So far, managers have been focused on production and, in particular, on planning and optimizing their own areas of responsibility.
Contact with the rest of the group, as well as to customers, is quite rare, since sales were conducted at other locations.
Many products are at the end of their life cycle, resulting in declining demand.
At the same time, pricing pressure is growing as competition is increasingly outsourcing their manufacturing to low cost countries (LCC). The sales department must offer discounts in order to stay in business.
The production sites within the group are regularly compared to each other. Results of this competition are the essential decision criterion for the award of new projects and product lines.
Our client's world is in a state of upheaval... As a production site with a broad variety of products, the location has a long and successful history. So far, managers have been focused on production and, in particular, on planning and optimizing their own areas of responsibility.
Contact with the rest of the group, as well as to customers, is quite rare, since sales were conducted at other locations.
Many products are at the end of their life cycle, resulting in declining demand.
At the same time, pricing pressure is growing as competition is increasingly outsourcing their manufacturing to low cost countries (LCC). The sales department must offer discounts in order to stay in business.
The production sites within the group are regularly compared to each other. Results of this competition are the essential decision criterion for the award of new projects and product lines.