Our restructuring and process improvement projects focus on achieving sustainable results for our customers. With a hands-on approach and intense involvement of our teams at every stage of the project, we ensure the speed of implementation and proper management of cultural changes.
Budget should be understood as the strategic financial plan of an administration for a given year. It is a representation of the annual breakdown of the business plan and shows forecasts of revenues, taxes, costs and expenses, as well as investments for a company.
In the Zero Base Budgeting (ZBB), we structure a model where areas make their best forecasts of revenues, costs and expenses without considering the past as its only source of information. At the same time, we built a methodology for prioritizing expenses for a drastic cost reduction.
- Understanding of the company's revenue stream, costs and expenses and the relationship between them;
- Increased control over investments, costs and expenses;
- Increased cash flow predictability;
- Visibility for eventual cost cutting.
The matrix budget is a management methodology for budget planning and control that is easy to elaborate and that allows an objective and crossed view of the expenses. The main focus is on managing expenses and revenues through the cross-view of entities and packages.
Analysis of accounts in groups (“package”), to facilitate later control.
A “package owner” is defined who participates in the analysis and definition of all expenditures for that account group under their responsibility.
Packages: The groups of revenues, expenses, costs or investments.
Entities: Business units, cost centers, or departments.
Its fundamental is based on 2 principles:
Double oversight of expenditure
During budgeting there is a need for consensus between the cost center manager and the package owner. This means that all budgeted expenses must be accompanied by 2 people and that, in most cases, budget compliance is part of their individual goals.
Constant follow up
It consists of a routine of monitoring the results, comparing them with the budget, analyzing deviations and defining correction plans to achieve the stipulated goals.
During its building process each area is supported by the package owner and detailed historical analysis are made for each package and group of accounts to enable understanding and comparison between all cost centers (“areas”).
Effective cost control since there is a need for consensus between cost center manager and package owner.
Additionally, this expense group is part of the Package Owners' goal panel, which represents the company in the subject across all areas.
The Shared Services Center (SSC) is an operational process model where a corporate area provides services to multiple units or departments, optimizing resources and integrating technologies, processes and people.
In this model, overlaps are eliminated and service levels are established in order to ensure that services are delivered in time and with the required quality. It is typically deployed for the treasury, accounting, personnel department and purchasing areas.
- Cost reduction in support areas;
- Establishment of service level indicators;
- Standardization of activities.
Operational Efficiency is the methodology that seeks to improve productive and non-productive processes.
In industrial areas we analyze the use of productive resources related to the consumption of raw materials, as well as the management of downtime and maintenance strategy.
In other areas (Comercial or Administrative for example) we look at sources of time waste and rework as our focus for improvement.
We seek to structure a way of managing the company that maximizes the return on assets, implementing best practices.
- Definition of performance measurement system;
- Improvement of overall operational efficiency;
- Reduction of raw material waste.
- Quality improvement
- Reduction of production lead times and working capital
In the restructuring of the procurement process or Strategic Sourcing we apply a organization's purchasing structure and process diagnoses. Based on the results we identify gaps for maximizing profitability and we suggest the best purchasing model for the organization.
In addition of defining the best product and services categorization, we bring to discussion pricing and buying strategies and assist the company in establishing processes, people and systems that can maximize profitability.
- Establishing the most appropriate processes, systems and people for purchasing management that maximize profitability;
- Maximization of profits;
- Correct definition of purchasing strategy.
Inventory optimization is achieved by a structured analysis of the demand generation and production capacity process as well as supplier lead time. Through a diagnosis of the demand planning, procurement and industrialization structure, we identify the processes gaps that impact profitability maximization and choose the best inventory management model for the organization.
- Establishing the most appropriate processes, systems and people for inventory management that maximize profitability and reduces working capital;
- Profits maximization;
- Demand planning strategy
Sales and Operations Planning is a systematic process of aligning sales demands and productive or operational capacity. Historically, the Commercial and Operational areas have difficulty in reconciling the best customer service strategy and this misalignment ends up causing a compromise of customer satisfaction that is often not met on time or on contract.
Through systematic meetings to review and improve the assertiveness of market demand and analyze the compromise of production capacity, we were able to optimize customer service and reduce production / operating costs.
We assist in reviewing the demand forecasting process, allocating production capacity, analyzing production and delivery lead times, mapping additional production capacities, and structuring control systems to track actual versus planned performance.
- improved customer satisfaction with increased service level
- greater alignment between commercial and productive areas
- reduction of intermediate stocks and safety stocks
- increase the company's overall margin by better allocating its productive / operational resources
Go To Market improvement is based on the comercial process diagnoses in order to identify gaps in maximizing profitability. Considering the market specificities we chose the best commercial model for the organization.
By defining the best product portfolio, the right pricing, the regional segmentation and the right marketing plan, we help the company establish processes, people and systems that can maximize profitability.
- Establishment of the most appropriate processes, systems and people for a commercial model that maximize profitability;
- Reduction of delivery cost and improvement of custumer satisfaction.
Good commercial planning is critical for companies to seek better results. Without a good demand forecast, companies suffer from service levels below customer expectations, even with high levels of capital employed in inventories.
We have carried out several commercial optimization projects in different channels, always focusing on growth strategy, historical data analysis, sales potential and net margins. We advise on the implementation of shelf systems or development of proprietary solutions, adapting the teams competences and increasing process maturity.
- Better sales results due to higher forecast accuracy
- Reduced inventory levels in the chain
- Structured data for revenue and margin growth simulations