There wasn’t one initially. In my operational role, I was driven by curiosity and saw opportunities for improving operational performance. Senior management decided to free up part of my time to take on the role of program manager.
Execution
Digital transformation
- Management information: Challenging existing processes and diving deep into databases and systems resulted in the delivery of a structured set of dashboards and reports following a KPI pyramid structure. This enabled management by exception at both the executive and operational levels.
Business transformation
- Customer-driven mindset: Leading by example, I facilitated a transformation from a product-focused to a customer-centric mindset and organizational structure.
- Process and profitability insights: The implementation of ISO9001 provided clear insights into current operations and areas for improvement. The introduction of Activity-Based Costing offered a more accurate view of financial performance.
- Cost and logistics pipeline optimization: Enhanced dashboards and reports across the entire supply chain led to significant improvements in cost structure, delivery speed, and reliability through renegotiations of Master Service Agreements and a series of targeted projects and procedures.
Results
Digital transformation
- A KPI pyramid and fully transparent dashboards across the supply chain resulted in enormous time savings and a 38% increase in perceived service efficiency.
- Reorganization of automated operational processes led to shorter delivery times.
Business transformation
- Structural reduction in inbound transportation costs by USD 10 million annually through the determination of preferred modalities per product and the introduction of the ‘polluter pays’ principle.
- Improved delivery reliability resulted in a reduction in inventory from USD 110 million to USD 71 million—a 35% decrease.
- Activity-Based Costing provided insight into actual operational costs, forming a solid basis for investment and divestment decisions.
- Strongly improved service levels and significantly reduced costs led to a marked enhancement in competitiveness as a 3rd Party Logistics (3PL) provider.