HEADCOUNT
We STREAMLINE your Headcount
Common Tasks:
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Reduce headcount as part of cost cutting program
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Adjust headcount to declined customer demand
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Restructure operational departments to lift synergies after mergers or acquisitions
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Develop tailored scorecard to perform meaningful employee performance evaluation
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Identify and remove low-performers to increase shop floor performance
Methods and Tools:
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Headcount Analysis
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Lean Assessment
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Headcount Demand Forecasting
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Employee Evaluation Matrix
Reference Industries:
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Automotive
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Manufacturing
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Pharmaceuticals
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Parts and Components
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Food
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Engineering
Ø Project Duration:
Ø Project Payback:
8 - 12 weeks
4 - 6 months
bottom line optimization 20 - 30%
Industry:
Company Size:
Project Location:
Global Automotive Supplier
5,000+
United States
Problem Statement:
Despite several management changes and restructuring programs, our client had pressing profitability issues at their two US manufacturing sites. The distribution warehouses in both locations were identified as low-performing departments and had substantial financial drains with highly negative P&L impact. If a fast turnaround and significant headcount reduction could not be achieved within the next 6 months, the closure of one of the two plants would most likely be unavoidable.
STREAMLINERS' Approach and Solution
Meeting:
Definition of high level goals and prioritization of first steps
Deep Dive:
Perform gaps and inefficiency analysis in main distribution warehouse to reveal process waste, ratio- and cost cutting potentials
Hypothesis:
Fix broken processes and eliminate operational waste to reduce shop floor headcount by >25%
Project:
1 consultant
12 weeks
Deliverables:
Revamped shift model implemented
Order picking process and material flows redesigned and optimized
Shop floor headcount reduced by 34% (5 months after project start)
Bottom Line Impact:
Shop floor headcount reduced by 34%
Annual savings >$1.1 M
Waste Analysis
Fees vs. Bottom Line Impact
