Strategy Matters

Change Strategy in Transport Engineering

Business Overview

UK Bus engineering (£100m) – part of the 4Bn euro business
Transportation Sector

Their Challenge

To ‘change’ the engineering business responsible for delivering a highly compliant service – so that it maintained compliance but improved efficiency – a 5% reduction in cost was required.

The Strategy

Worked alongside the National and Regional Directors to help develop the understand of the need for change, the current culture (effectively 5 businesses acquired, but never properly merged – people, IT, strategy). The scale and complexity was significant with over 60 sites in the UK and over 1600 people.

Developed a clear strategy aligned to overall business strategy that was then used as a framework for Regions and individual locations to create their own objectives and targets – so creating genuine understanding and ownership. Focus of the strategy was on reduction of waste (in all forms) – critically the delivery of a first-time fix as this was the single biggest contributor to cost – and service delivery. It was also the key issue that the people in the business could actually impact on. Worked across all locations to implement the change and spread emerging best practice – for 4 years.

Non and low value added processes were digitised and Robot Process Automation and AI introduced reducing not only the administration burden of paper – but also negating the need for expensive IT change as the digitisation processes interfaced with existing systems. This delivered cashable savings from month one. Reduced administration cost and speeded data for analysis to assist management.

Outcome

Clearly understood strategy and structure to deliver continuous improvement across 5 Regional businesses and over 60 locations. Reduction in non value added activity of £2m secured through ‘digitisation’ of paper based processes. Improved efficiency and cost reduction of a further 5% from improvement in first time fix.

Back to Case Studies