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Developed a coordination system for a management company and a regional factory

Situation

  • The client is a key subsidiary in a fuel production holding
  • The current system of coordination between the management company and the subsidiaries is not structured, effective or transparent
  • A program to reduce costs in the enterprise was not reflected in its development strategy

Goal

  • To develop a coordinated system for the factory and management company to achieve the targets and implement the holding’s strategic development plan

Our approach and Results

  • Developed model for coordination of activities between the factory and management company based on management principles based on goals and benchmarking. The model was approved by the factory and management company
  • Identified and achieved high-level agreement on the type of holding, degree of independence, and development of goals and control statistics
  • Developed scheme outlining the enterprise’s aims, deconstructing them and providing control indicators for directors
  • Conducted study session and brain storm to agree aims and identify the control indicators for the enterprise’s directors
  • Financially analyzed the enterprise, including a detailed analysis of more than 20 of its subsidiary business units
  • Conducted deep analysis in some of the business units, including benchmarking against Russian and international comparable firms. Found significant reserves to increase the company’s efficiency. Overhauled the cost saving program for the structural units, setting new benchmark indicators for activities
  • Analyzed budgeting systems, and as a result of a brain storm, took a decision to make changes to the current system
  • Analyzed organizational structure, providing recommendations to the general director on how to optimize it
  • Analyzed investment process, providing recommendations on how to improve it

 

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