The Client : A globally recognised Food & Beverage company

organisational change management

The Challenge:

  • A global FMCG cmpany, historically an industry leader, had seen its IT performance lag its competitors’.
  • Its overhead costs were significantly higher against comparative company benchmarks.
  • The European region, driven by a complex, oversized organization with a large regional staff , operated with duplicated and cumbersome processes requiring multiple handovers.
  • The CIO wanted a complete restructure of the IT function , across a workforce in 20 countries and outsourced providers in 4 continents,  to reduce costs, simplify the organisation, strengthen accountability, and improve responsiveness to customers, whilst creating flexibility to evolve to future priorities—all within 4 months. 
organisational design change management

The Solution

  • We conducted a thorough diagnostic of the current organization, then worked closely with the company's leadership to define the critical design criteria and high level design options of the new organization.
  • Simplification of processes while remaining compliant to SOX,  enabled the removal of a full organizational layer in the regional structure.
  • Duplication of activities and non -value added activities were removed with the creation of consolidated centres of excellence located in different countries each of which would service the region. 
  • Decision-making was streamlined so services, customers and business leaders had clear visibility of costs of services and response times.
  • To ensure that customer services and product delivery were not impacted,  implementation was phased by level and centre of excellence across 2500 employees with changed job descriptions , performance metrics and reporting lines
  • A central unit was created to enable IT project evaluation and prioritisation, a reduction in IT development costs and simplified IT architecture.

The Results

  • Eliminated duplication of efforts across different regional business units and services.
  • Improved customer response times by 50% to resolve business critical services.
  • Reduced head count by 25% through consolidation of services across region.
  • Aligned development opportunities and processes for efficiency to deliver savings of $80 million over 3 years.