- Which countries / regions are suitable for production sites?
- Where does procurement take place, e.g., of raw materials or services?
- How should distribution be structured, e.g., in terms of division into central and regional warehouse locations? Where should these distribution centers be located?
- What criteria are used to select the ideal manufacturing and distribution locations?
- What aspects must be covered in a financial assessment of the Operations Footprint?
- Which methods and technologies can be used to visualize and simulate changes in the network?
Managing and developing operations processes worldwide
With ROI-EFESO, industrial companies from different sectors create a robust Operations Footprint. Together with our global team, they solve challenging tasks in country-specific and global value creation structures. In doing so, we jointly realize the following objectives, for example:
- Safeguarding the resilience and flexibility of supply chains
- Ensure delivery reliability and dependability (Close to Customer)
- Optimize transport and storage costs
- Improve machine availability and utilization (OEE, Overall Equipment Effectiveness)
- Secure staff availability and optimize personnel costs
- Meeting criteria and legal requirements for industrial sustainability
Limit risks and benefit from market changes
Operations Footprint projects with ROI-EFESO address the following fields of action in particular. We solve these and other issues, considering company-specific requirements:
Optimizing production and logistics networks
Taking "Make or buy"-decisions
- Which services does the company buy in? Which ones does it fulfill itself?
- Which technology chains are part of the company's own core competence? Which can be bought in?
- How do you select, expand, and develop strategic partnerships?
Developing and implementing sourcing strategies
- How can an effective strategic procurement organization be set up in a company? Which “levers” such as roles, employee qualifications or IT systems are critical to success?
- Which aspects must a target image for purchasing address in addition to risks, market conditions or partner criteria?
- What should a commodity strategy focus on to benefit from market movements and to minimize risks? To what extent are aspects such as diversification, inflation protection or volatility relevant?
- How does optimal supplier management ensure that goods and services are delivered on time, in the desired quality and at competitive prices?
- Which supplier relationships should be further developed in terms of strategic partnerships? Which suppliers are worth developing highly efficient, transactional relationships with?
Our services for Operations Footprint design
Determine the maturity level of your Operations Footprint with ROI-EFESO and tap into its potential for cost savings, sustainability aspects or protection against supplier failures. We create a data-supported inventory of your Operations Footprint – or design it in relation to the corporate strategy. We expand this perspective by identifying the short, medium, and long-term options and directions of the Operations Footprint in a target picture.
In implementing these targets, we support your teams at your sites around the world, for example by analyzing your market-specific scenarios and challenges. On this basis, we create an implementation roadmap to optimize your Operations Footprint with clearly defined milestones. Best practice examples from your industry and other sectors provide valuable points of reference for the implementation phase.
Take advantage of ROI-EFESO's expertise to further develop your Operations Footprint in the following areas:
Footprint Rethought!
Reducing complexity is one of the key challenges in managing global supply chains and production sites. Two trends are shaping day-to-day business here: firstly, external complexity growths because of higher volatilities and more disruptions as well as demographic changes. Secondly, internal complexity increases, driven by higher numbers of product variants, historical grown network structures and cost pressure.
With ROI-EFESO, you convert complexity into competitive advantages. Realize significant improvements in your value creation processes with us. Results from our Footprint Rethought projects include, per example:
5 % - 9 % increased revenue
6 %- 10 % increased EBIT
20 %- 30 % reduced capital spend
20 %- 30 % reduced number of nodes
We support you with a unique combination of industry expertise:
We breathe operations!
We convert your strategy into operative targets and we deliver a feasible solution path.
We think transformation!
Transformation starts with the project in enabling the team. We continuously involve all relevant stakeholders and hand over a solution with a high level of confidence and acceptance.
We are fact driven!
We use a customized and consistent data model to compare the different scenarios. We ensure a high level of transparency in what we do and how we do it.
Sustainable footprint implementation
Our aim is to develop a customer specific future footprint design and an enabled team to be ready for implementing a network structure that supports your business now and in the future in the best possible way. In our experience, the following elements are critical to success:
Starting from strategy
Strategy including product and market trends as the trigger for defining the direction and delimiting the solutions space.
Stakeholder management
Continuous integration of stakeholders ensuring realizability and the identification with the developed network design.
Data-based decision making
Targeted data collection and careful data cleansing enable data-based evaluation of scenarios and decision-making.
Thinking in feasible solution paths
Development of feasible solutions with a clear roadmap, considering risks, understanding possible sensitivities and decision points. The solution must show a path that can later be adapted to changed boundary conditions.
Ready for transformation
The project is just the start, the project team and the entire company need to be prepared as part of the project to be ready for the transformation.
CASE STUDIES - PRACTICAL EXAMPLES
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Operations Footprint: Redesign of the worldwide manufacturing network
Reorganization of the manufacturing landscape: A manufacturer of industrial pumps is pursuing the goal of achieving a new sales growth record within three years. With ROI-EFESO, the mechanical engineering company therefore put the manufacturing footprint of eight locations and subsidiaries in its international production network to the test. Among other things, it analyzed the product groups and segmented the manufacturing landscape.
Zero-Based Organization
Champions do not rest contentedly with their success, but always have their sights set on the next milestone. A technology group with around 20,000 employees at over 16 locations worldwide is also orienting itself in the direction of such a “North Star”. His starting points: an operational strategy and the initiatives derived from it, which should be implemented at every location in order to make them even more efficient.
Business Operations Strategy: Re-start for production networks
A market leader strengthens its Global Footprint structures. With a turnover of around EUR 10 billion, the company is one of the market leaders in the life science and chemicals sector. After a long period of successful global growth, developments such as tougher competition and shifts in demand between regions are jeopardizing the achievement of the ROCE (return on capital employed) targets.
Sales and Operations Planning
A wood processing company wanted to improve its planning quality while reducing planning efforts. ROI-EFESO developed a suitable solution concept for an S&OP process based on SAP IBP (Integrated Business Planning), allowing the planning process to be standardized and automated, as well as bring about more flexibility and increasing efficiency. An intensive dry run was carried out in the first stage of the project.