Client Engagements

SITUATION:

The $5B Crop Harvesting division of a F100 ag equipment OEM needed to define a fully global strategy for a leading product line: what products to develop for regional markets with widely varying types of crops; farms; farmers; and government programs and regulations.

SOLUTION:

• We mapped the market by product and application and crafted a global market segmentation covering 3 crop types, 3 farm types, and six types of equipment in the product line.
• Then, aided by workshops in each of the four regions, we prioritized market segments for each region (and the global rollup) by their relative attractiveness & our client’s relative capability against market requirements & competitors.
• This segment prioritization helped the client decide which development programs to accelerate or curtail; and the new, smaller product aimed at smaller farms and emerging markets was developed and brought to market.

RESULT:

By focusing on each region, we identified opportunities to bring to market particular products well-suited to fast-growing emerging markets (such as Brazil, Argentina). This strategic emphasis on emerging markets was instrumental in bolstering global market share while maintaining leading share in N. America. Diversification into emerging markets also provided a buffer against subsequent market downturns in developed regions, and delivered leading market share worldwide by 2018.

SITUATION:

This F50 company manufactures very large and expensive durable goods in numerous factories around the globe.  Having already moved to modular product design,  they wanted to explore ways to make use of that modularity to improve the flexibility, quality, cost effectiveness and efficiency of their sprawling manufacturing network.

SOLUTION:

We worked closely with executives and an operational core team to:

• Establish, define, and measure the key parameters to balance, including: cost, quality, risk and flexibility
• Determine and acquire key inputs such as product data, labor costs, tariffs, exchange rates, shipping rates, production costs, component/raw material supply costs, and many more
• Provide design and operationalization assistance for a comprehensive multi-variant optimization model
• Develop target scenarios and iteratively model both the financial and non-financial impacts of each scenario
• Assess results and recommend “optimal” global manufacturing network – including dramatic changes in product modularity and manufacturing footprint
• Identify which modules to pilot

RESULT:

The new manufacturing strategy – currently being implemented – is projected to save hundreds of millions of dollars in operational costs, while increasing network flexibility and reducing risk.  For example, changing the sourcing of one small module to another factory in the global network saved over $1000 per unit landed.

The optimization model is now being used in other business lines across the company.

SITUATION:

The newly appointed CEO of a $300m spin-out from a F200 global manufacturer faced the daunting task of:

• Doubling revenue and profit in four years,
• Transforming the company culture and mindset to one of speed and growth, and
• Establishing operational platforms and process independent from their ex-parent

SOLUTION:

We worked with the CEO and key members of the executive team to rapidly deliver a comprehensive strategy and execution plan, including:

• Vision, goals and key strategic pillars
• Cultural change imperatives
• Detailed market segmentation, assessment and prioritization of markets (fastest to required growth)
• Definition of key product development efforts required to capture key markets
• Financial modeling & assessment for growth/profit trajectory attainment
• Detailed execution plan for strategic initiatives

RESULT:

An engaged and aligned company, all focused on the key strategic priorities in pursuit of the aggressive revenue and profit targets.

SITUATION:

Major division of F100 global ag equipment OEM needed to align their product & development portfolios with their division strategy, taking into account the plans & priorities of each region; product team; function; and the dealer network. The lack of integrated portfolio management and strategic alignment was leading to development delays, commercial disappointments and over-reliance on a couple of profitable — but maturing — products.

SOLUTION:

We diagnosed the causes of delays & misalignments, then developed:

• A coherent Solutions Vision (for several product lines);
• An integrated Product Roadmap;
• Multi-year Roadmap Budgets (to limit the damage from funding gyrations).

We set priorities for the entire division by crop value chain and region (the first time this had been done).  Finally, we designed a decision process (with decision rights) for establishing and updating the Solutions Vision, Product Roadmaps, and Budgets.

RESULT:

A smoother, faster, more consistent development process brought several successful products to market. In particular, it aligned the release of updated headers with new and upgraded combines — something the division had always struggled with before. This new process worked so well we were brought in to do the same thing for several product platforms in the larger group.

SITUATION:

This international technology company, historically known for its innovative offerings, found itself stagnating in its core markets. Endowed with substantial corporate funding each year, their Labs (R&D) organization invented numerous new products, only to have them languish internally without being embraced by their business units (some of which were very similar to those successfully introduced by competitors – years later).

SOLUTION:

We worked with their R&D group to:

• Develop a portfolio structure to focus their innovation efforts on the specific areas that aligned the organization’s capabilities with the company’s strategic goals and specific business unit priorities
• Establish the process by which new R&D efforts are funded, prioritized and initiated — to better reflect the needs and interests of the business units
• Restructure the R&D organization — aligned with the new portfolio approach — and re-formulate the teams with the necessary skill-sets

RESULT:

Reframing the “who pays for what” to ensure that the business units “sponsored” projects in particular portfolios raised the adoption rate from 7% to 75%. This model has been replicated throughout the company’s business units for their BU-specific innovation efforts, and the company has resumed its place as a leader in their market.

SITUATION:

Innovative autonomous vehicle company wanted a clear understanding and prioritization of where and how to deploy limited resources — focusing on key markets and the channels required to reach them.

SOLUTION:

Working with cross-functional leadership, we:

• Developed a global market segmentation that reflected the company’s unique perspective
• Analyzed each segment for opportunity (size, growth potential, competitive forces, etc.)
• Assessed the various routes to market for each segment in each geography, focusing on short, intermediate and longer term potential
• Crafted a clear and concise strategy that specified priority markets/segments and the channels to reach them

RESULT:

The company redirected resources based on the strategy and within 6 months of doing so, the sales pipeline increased by over 200%.

SITUATION:

The Cardiac division of a multinational medical device company with a diverse and expansive R&D portfolio wanted to align that portfolio with a recently-revised business strategy (which we worked with them to develop).

SOLUTION:

Working with leaders in both R&D and Marketing, we:

• We framed and secured alignment of cross functional executive team members for the key portfolio objectives
• Developed project/program funding criteria that included: projected rates of return, market timing, risk, mix of project types, etc.
• Developed a going-forward process for project funding that reduced politics and increased efficacy

RESULT:

The R&D portfolio criteria and governance process was successfully implemented;  while it will take years to determine the extent of the financial impact, executives anticipate it will be significant — and in the meantime, the process itself has already eased decision-making.

SITUATION:

This leading technology company determined that its Enterprise Architecture capabilities were one of the keys to its future competitiveness. It was mandatory that their infrastructure be cost-effective, flexible, and able to facilitate rapid responses to market demands.

SOLUTION:

We worked in tandem with both technology and business executives to:

• Define the key strategic goals and requirements of the organization — aligned directly with corporate business goals
• Devise structural options which meet these requirements and assess these structural options for capability, manageability and feasibility
• Draft the primary activities, staffing model, and both leadership and individual roles and job descriptions needed for the organization to be successful
• Execute — implement the new organizational structure, roles, responsibilities and job descriptions; remove staff with skill-set mismatch, interview/hire new skill-sets (including a new CTO)

RESULT:

The new organization is the catalyst for substantial changes being made to enhance the company’s competitive position — including efforts to reduce costs and complexity as well as improve stability.

SITUATION:

A F100 global OEM needed to align their product roadmaps across their ag equipment groups to ensure that products were brought to market in time to deliver full cropping solutions.  Because each product group was selecting the projects that were highest priority for them individually, there were gaps in the full cropping solution for some crops and regions — which was hurting sales and thwarting the corporate goal of outfitting farmers with full suites of products for each crop. 

SOLUTION:

We worked closely with the client’s executives to:

• Compile the product roadmaps of each product group;
• Identify gaps & inconsistencies for each crop in each region (and with strategic priorities for the company as a whole);
• Build a process for scoring the opportunities & resolving the gaps;
• Convene a meeting of the leaders of the product groups to agree on priorities and modify product roadmaps to deliver prioritized, complete, coherent solutions by crop in each region. We documented the outcomes and the process for reuse.

RESULT:

Established the foundation for the client’s subsequent organizational shift to crop value chains (all of the products & services related to particular crops) instead of product groups. Reorientation from a product-centric structure toward crop-specific value chains has enabled deeper integration across the entire farming cycle; accelerated the adoption of precision farming products; and powered market share gains in combines and mid-range tractors, as well as particular crops in various regions.

SITUATION:

Under new leadership, this brand name, $1.5b formerly non-profit company was looking to increase revenue, improve operating margins and drive a “profit & loss” orientation deeper within the organization by being more commercially focused and market-responsive globally. They were organized in an ad hoc, organic fashion, without clear accountability throughout the various operational units.

SOLUTION:

We worked with the executive team to determine an effective organizational structure (based on their strategy and goals) that enabled them to successfully grow and transition to a customer-orientation by:

• Diagnosing the dislocations, misalignments, and inefficiencies in the existing organizational structure
• Developing a set of plausible organizational options and defining a set of evaluative criteria
• Conducting a series of workshops with the executive team to assess the various options and specify a better structure
• Performing an analysis of the skillsets required for the new organization and determining where gaps exist, while creating an extensive organizational transition timeline

RESULT:

Early results are very promising. Surveys indicate that personnel are energized by the increased customer focus and revenue is up for the first time in many years.

SITUATION:

After completing a JV in China between two leading emissions controls producers (an eos consulting recommendation in a prior engagement), the respective Engineering teams needed assistance in harmonizing their collective product development efforts and leveraging their respective strengths and cost advantages.

SOLUTION:

We worked extensively with the Engineering and Executive teams of both companies to:

• Outline an over-arching vision for how the two organizations should collaborate to co-develop products
• Specify the details of the corresponding governance model for the engineering relationships, including: organizational structure, key operating processes, and decision rights – “who does what, when, and how”
• Determine the costs, ROI and personnel implications of achieving the vision
• Develop a high level transition roadmap/implementation plan, summarizing roadblocks, actions needed, and budgets

RESULT:

Engaged, aligned and collaborative Engineering teams — that led to cost effective, market-leading products – and ultimately to a successful joint venture.

A F100 manufacturer was concerned that competitors were gaining market share through the strength of their targeted new product portfolios.  They wanted a more effective R&D allocation process (and supporting decision tools) — as the existing process, overly reliant on estimated financial returns, resulted in prioritizing/funding “incremental improvements” over more innovative projects, and misalignments with strategic priorities.

SOLUTION:

Working closely with process stakeholders, eos consulting re-focused their R&D funding goals and process from being solely focused on value to the company (ROI, etc.) to a triad of:

• value to the customer
• value to the company
• alignment with market segment strategies

Additionally, we developed rigorous assessment methodology/tools to assess and concisely communicate each of these, including:

• categorization of each investment program (breakthrough innovation, differentiated value, me too, low value)
• dashboard containing specific factors/categories and measurement criteria — weighted to reflect the relative importance to the customer
• global matrix and aligned executive team regarding market segment priorities (lead, compete, participate, abstain)

RESULT:

During a secular downturn, the company was able to trim R&D spending while improving strategic alignment.  Development programs brought to the fore in the new process are coming to market and taking share.

SITUATION:

The Power Systems division of this company was stagnating and required a more effective “go to market” growth plan/strategy. In particular, the strategy needed to help determine the optimal mix of products and services to be sold to which segments (and which customers therein) within which regions to drive profitable growth. It was particularly important for the strategy to be actionable by marketing and the sales force.

SOLUTION:

Working with their executive team, we:

• Analyzed the company’s customer base and segmented their markets based on internal background materials/perspectives and existing external market data
• Determined the attractiveness of each segment and the fit to company capabilities/strengths
• Developed growth models from financial forecasting data
• Established a manufacturing footprint plan
• Determined which products and services should be offered to each segment in order to maximize revenue, market share, potential growth and profitability

RESULT:

Key markets were identified and targeted for increased sales. Products were matched to their ideal markets, and as a result, overall revenue and profitability rose substantially.

This $1b division of a global manufacturer had developed a new technology which had the potential to provide future competitive advantage. However, it could also undermine margins in its existing businesses. The team was struggling to bring the technology to market, and — as costs mounted — patience from the executive suite was running short.

SOLUTION:

We worked closely with both the senior executives and the business team responsible for commercializing the new technology, to:

• Analyze the market and its competitive dynamics, and then identify new business model opportunities — specifically, to sell individual components of the new technology instead of a complete power generation system
• Help them realize that the technology was better suited to be a part of a different product, in an application for customer segments that they didn’t usually serve
• Redirect their sales and marketing efforts as well as manufacturing outputs on these newly targeted customers and applications

RESULT:

The emerging business unit won renewed commitment and confidence from the executive team — and due to this business model reframing they soon won an $8MM contract to supply a vendor of specialized military products to the government.

SITUATION:

This company’s sophisticated enterprise software for industrial/manufacturing organizations requires significant professional implementation services to integrate with clients’ product development processes. Yet, these complex projects had no engagement models or governance mechanisms to help guide them to successful completion. Eos consulting was engaged to develop these models and mechanisms in order to increase sales, better set/manage customer expectations and reduce re-work.

SOLUTION:

Working with the client’s key executives and cross functional project team members, we:

• Assessed the key client (and client’s customers) needs and determined that a customer-tailored client diagnostic and engagement model was required
• Developed a robust client diagnostic (to determine appropriate engagement “level”) and governance templates (decision rights, processes, metrics, etc.)
• Beta tested the diagnostic and templates with 3 of their top customers
• Assisted with new diagnostic and engagement model roll-out by detailing the test and communications plan, developing training materials and conducting training classes for globally distributed Sales and Professional Services personnel

RESULT:

An implemented methodology (named Value Centric Engagement) that enabled the company to custom-tailor the appropriate engagement model and governance blueprint for each client, based on that client’s needs and capabilities (with the ability to update and improve the blueprint over time as experience accumulates). This program resulted in a 25% reduction in re-work and helped the company increase revenue by 35% in the 3 years post implementation.

This company was facing explosive growth and needed to expand capacity in order to meet market demand. They needed to determine in what locations to manufacture which products/components, incorporating numerous factors, including: current and future customer demand by region, location of current facilities, geographic labor conditions/costs, governmental stability, infrastructure costs, supply chain, etc.

SOLUTION:

We worked closely with executives and an operational core team to:

• Determine a workable approach and objectives given an aggressive business strategy
• Develop the numerous factors critical to the decision-making process and determine a set of viable candidate scenarios
• Model the financial and assess the non-financial factors for each scenario
• Decide on the optimal scenario/variants and formulate a strategy, including elements cost, risks and associated critical success factors

RESULT:

The strategy was implemented throughout Europe and Asia, generating significant profitable growth — the company returned record results within two years.

The IT function of this multi-billion dollar travel services company was challenged by stability and cost issues, largely driven by uncontrolled complexity, exacerbated by widely distributed IT decision-making.

SOLUTION:

We worked closely with the client’s executive and technology teams to define and implement a cohesive IT Governance Framework by:

• Establishing comprehensive governance processes, encompassing setting and governing technology standards, as well as business unit-driven projects and IT/infrastructure projects
• Restructuring the IT organization, with defined roles, responsibilities and decision rights
• Implementing a “dashboard” of financial and operational/performance metrics for tracking success
• Constructing a feedback loop – such that the organization can continually refine and improve upon their ability to meet their business commitments

RESULT:

The new CIO, assisted by an energized management team (that had been involved in developing the new framework) was able to rapidly realize significant cost savings and operational improvements – while adding new services and reducing complexity.