Business Transformation in Valve & Actuator Industry
December 16, 2024
Company Overview:
- Industry: Valve & Actuator.
- Applications: Oil & Gas, Thermal, Pharma, Chemicals, Automotive Industries.
Objective:
Enhance Topline, Throughput, and Profitability by synchronizing functions & business elements.
Strategic Implementations:
- Organizational Alignment: Adopted TOC, Lean, Six Sigma, Data Science way of scientifically managing the business to align all functions towards a common Goal.
- Supply Chain Transformation: Implemented an IT-driven Replenishment Model across the entire supply chain, including distributors, plants, and suppliers, which led to quicker deliveries, reduced lead times, and increased secondary sales.
- Marketing & Sales Alignment: Expanded reach, range, and acquisition of new customers.
- Project Management Excellence: Adopted the Critical Chain Project Management approach, a Theory of Constraints (TOC) methodology, which accelerated project execution, established clear priorities in line with organizational goals, and addressed customer needs more effectively.
Impactful Outcomes:
- Sales Growth: Overall sales grew by 40% in the first year.
- Sales Throughput: Increased by ~ 45% in the first year.
- Cash Flow: Improved by 30% in the first year.
- Operational Efficiency: Delivery performance enhanced from 70% to 95% +.
- Manufacturing Efficiency: Manufacturing Lead time was reduced by 60%.
- Business Review Process: Established key metrics and review mechanisms involving all stakeholders.