Scope and size of the project
FTE 25, revenue approximately SEK 50 million

Challenge

On assignment for a Large European Entity, we conducted a review of the business with the goal of saving 20% of the cost base. One theme was to merge facilities and move from high-cost to low-cost countries. After due diligence, a decision was made to relocate a business from Norway to Poland. A relatively new facility had over-capacity. It was easy win on the paper.

Difficulty was maintaining quality and short lead times. Customers in Norway were used to 8-10 day lead times and transport from Poland was at least 3 days. After close collaboration with the Production Management and Plant Manager in Poland, we set up three line shifts per day to create flexibility to produce the equivalent of three days' production in a day, i.e. 15 shifts a week (service/maintenance over the weekend).

What used to be manufactured in five to six days was now produced in two days, which left time for transport to Norway. As a result, we increased output in the new production at a lower cost per unit produced, which created room to expand the sales organization and improve profitability.

Lesson

Sometimes the solution is right in front of us, but we can't see it. Assumptions about how we usually work can sometimes be opened up by new perspectives from external consultants.

Experience in leadership in different cultures and the ability to adapt your leadership to get the most out of employees from different cultures and attitudes provides unique opportunities.

A good Controller is worth their weight in gold, pre- and post-calculations are great learnings. Dare to show that you don't have all the answers and be curious about what everyone in your team has to contribute.