Client Case: Automotive Supplier

Automotive Supplier

CLIENT CASE Industrials and Mobility

CHALLENGE
SOLUTION
RESULT
The client is a tier-two supplier for the automotive and aerospace industry with a global presence on four continents .
· Confronted with severe decline in revenues due to structural industry change and Covid-19
· Major personnel overcapacities ( production and overhead )
· Lack of transparency over group-wide conducted activities
· Swift measures required to compensate for the decline in revenues
In a first step , the goetzpartners team conducted a scenario analysis on the likely future demand for each of the client ’ s product categories . In parallel , the advisors performed an activity analysis to assess the activities and the respective product categories serviced for all > 3,000 employees across multiple sites . Combining the results of the two analyses helped to determine in which functions overcapacities exist and which areas to focus on . The outcome created transparency for the client to elaborate sophisticated personnel reduction measures on a per site and function basis .
Additionally , goetzpartners set up a large-scale transformation program with multiple initiatives across all functions to identify and elaborate further measures to stabilize the sudden slide in profits and sustainably increase EBIT in the years to come .
The advisor team did not only manage the transformation program but also offered support in implementing the measures . goetzpartners further assisted the client ’ s departments in the structuring of their initiatives and the identification of EBIT-potentials in their respective functions .
· Measures with > 50 m € sustainable EBIT impact identified
· > 5 m € on-top yield potential in sales function uncovered
· Precise FTE reduction per site and function determined
· Development of a post Covid-19 market approach strategy to push sales again
Contact : info @ goetzpartners . com © goetzpartners , October 2020