Improved Results and Increased Customer Satisfaction - KBC
Industries

Real-World Example

Improved Performance and Increased Customer Satisfaction

How we significantly improved both the turnaround time for customer orders and EBIT at a service provider in the renewables sector.

Background

The expansion of wind turbines is increasing worldwide; it is widely regarded as economically sound and stimulates economic growth. Due to the strong growth in the wind turbine sector, there is a particular demand for service providers specializing in the certification and inspection of wind turbines to ensure that operators comply with the relevant standards. Amid increasing competitive and cost pressures, as well as the industry’s continuous growth, such service providers face particular challenges, such as a lack of transparency regarding revenue, margins, and cost drivers.

Specific Task Description

  • Provide transparency regarding revenue, margin, and cost drivers
  • Identify and Analyze Leverage Points for Optimization
  • Establish a Systematic and Strategic Approach to Continuous Performance Improvement
  • Increase Customer Satisfaction

KBC Approach

Working closely with our client, we were able—as part of the initialization phase—to define the specific project objectives and agree upon them with management and the core team. The foundation for the success of optimization programs is always the company’s strategic direction and internal support. Here, we were able to support our client with our many years of experience in designing and implementing optimization programs. In addition to systematically analyzing revenue, margin, and cost drivers, we also scrutinized the client’s order and project processing and developed optimization hypotheses. Through a methodical validation of these hypotheses, we were able to identify specific improvement measures and subsequently refine them. Monetary assessments of potential in the form of business cases provided targeted support for decisions regarding the implementation of these measures.

Impact Achieved

We uncover financial potential by working with our clients to identify valuable ideas. For example, through an order processing analysis, we were able to systematically identify the drivers of revenue, margins, and costs, along with the causes of profit losses. By reengineering the order processing system—with full documentation of the resulting profit improvement—we reduced the turnaround time for customer orders by more than 30%. The success speaks for itself: One year after the launch of the “Continuous Profit Improvement” program, EBIT had already increased by more than 25%.