We use cookies to give you the best possible experience on our site. By continuing to use the site you agree to our use of cookies. Find out more.

 

Transformation Programs

These are generally organisations who have determined that their current operating model requires a serious overhaul and are seeking to dramatically improve their overall performance by developing and embedding the disciplines of Operational Excellence into their organisation.

Scope & Timescale[1]:

The scope usually covers the bulk of the organisations activities, often including the optimisation of their supply chain and demand chain / channel partners. As such, these programs generally consist of a number of phases, each lasting 3-4 months, with the bulk of the organisation being covered over a 2 year period.  Often these programs begin with a more limited tactical intervention (see below) which acts as a pilot project for the broader transformation program.

Typical Outcomes:


  • Dramatic improvements in productivity facilitating a reduction in operating costs of the order of 50% or the creation of additional capacity to grow revenues while keeping costs static.
  • Bringing the organisation's Operational Risk profile under control while delivering significant and tangible improvements.
  • Large scale improvements in the organisation's customer satisfaction metrics reflected increased sales revenues and gross margins.
  • Tangible improvements in Staff Satisfaction levels.

Project Examples


Medium Size Retail Bank Reduces Operational Costs by Over 30%

 Mid-Size Retail Bank, the subsidiary of a large multinational group, was set a survival objective of reducing its total cost of operations by at least 30% within a 10 month period. Client chose Kefron McLaw over larger, international consulting companies based on our track record for delivering tangible results and our commitment to designing & implementing a program to deliver the target results within the required timescale.

The program successfully delivered cost & FTE reductions well in excess of the required 30% and within the program deadlines. The program covered the restructuring of their retail network and the optimisation of their back office operations without the need for anything other than very modest IT investments. The client has managed to sustain these improvements and add to them in the subsequent 2-3 years. As a consequence of their achievements, they are now regarded as the recognised centre for operational excellence within the broader international group and now act as an adviser to many of the other, larger global subsidiaries.

Retail Bank Improves Productivity by Over 28%

This client is another mid-sized Irish Retail bank who was finding it difficult to quickly scale their business during the high growth years in the mid-late 2000’s. With a recruitment backlog of over 15% we entered into a performance based payment agreement whereby we committed to helping them improve the productivity of their full back-office organisation, consisting of approximately 200 staff, by at least this 15% within 12 months.

With a small internal team and 4 of Kefron McLaw’s experienced practitioners, the bank improved their productivity by over 28% within the desired time frame. The COO made the point at the time that it was the first program in the banks history that came in on time, on budget and that over delivered!

This table below includes a summary of the teams involved in the example B above along with some other similar financial services teams we have worked with over the past 10 years.  Many of these business unit types has been repeated across a variety of organisations – for example we have worked with the contact centres of every financial services client while in the table we cite only 1 such example.

transformation_table

We also recognise that resource reduction, productivity improvement and cost saving are not the only results sought by service organisations.  We also deliver significant results in internal & external service levels, increased resource flexibility and end-to end process control.


[1] The timescales referenced in this document are determined by the optimal time it takes for the organisation and its staff to absorb and embed the necessary behavioural changes required to sustain the targeted benefits. Shorter time scales are possible; however this generally results in significantly less buy-in by the management & staff of the client organisation, which usually results in the evaporation over time of the benefits achieved.