Case study: Developing and implementing a diversification strategy involving Far East production sites

Costumer

  • Automotive supplier
  • approx. 15,000 employees worldwide
  • Production sites in Europe, Asia, America

Problem

  • Lack of profitability of a German production site
  • Low product and market expertise in senior staff
  • Limited product quality through unfavorable manufacturing processes

Task

As part of an interim management project: Appraisal, world market analysis with benchmarking, evaluation, comparison with Group standards, developing a strategy, expanding its product portfolio by including a Far East supplier while protecting the domestic production facility, increasing employee competence through training, improving product quality through changes in the manufacturing process

Duration

  • 12 months

Result

  • Significant increase in the profitability of the company
  • Expansion of the product portfolio
  • Sales of new products to existing customers
  • Favorable average price
  • Inclusion of a far-east manufacturer in the consolidated operations including supply chain management and quality management
  • Optimization of existing production processes
  • Strengthening the skills and development towards a system supplier and development partner