Client Description
European Packaging Company supplying CPG, Pharma, Consumer Electronics sectors.
Background
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The client had a country structure, with logistics, finance, sales and marketing all organized in a country structure
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The client was under constant cost price pressure from all customers across all sectors and needed to cut costs
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Major Customers had become pan-European, with several key accounts emerging and requiring a pan-European service from the client
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There was a lack of clarity/ownership for the broad area of customer service, resulting in high cost/waste and poor customer service
Objectives
The objective was to design a Pan-European organization to better align to the needs of the market, while reducing headcount cost significantly and enhancing customer service and competitive advantage.
TPG Approach
TPG managed a multi-functional, multi-national team from the client to design and implement the new European organization.
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Corporate Strategic Plan (OGSM) to define where and how the business would win in the market
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Detailed process design to define the pan-European ways of working, removing complexities of different countries
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New European/central functional structure for marketing, innovation, technical, finance, sales
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New European Key Accounts team, Local Field Sales teams and central Telesales team serving multiple markets, with customer segmentation defining resource allocation by Customer
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New European Customer Service/Returns organization
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Implementation program to launch the new organization (all functions and teams) & processes and to build capabilities in the new ways of working – including culture change program
Impact/Results
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€10m headcount reduction
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Maintained business growth, despite major change program and headcount reduction of 20% in some functions
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Grew customer base and volume from smaller customers through the Telesales organization
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Fewer, bigger innovations
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Significant improvement in customer service scores