In a volatile and cautious market environment, accompanied by high interest rates and inflationary costs;, companies across nearly all industries are experiencing significant economic pressure. Additionally, geopolitical tensions and recessions in key markets pose further risks to long-term growth security. To address these challenges, early actions are crucial, focusing particularly on ensuring liquidity, optimizing cost structures, and advancing organizational structures.

A common issue with cost reduction and optimization programs is that measures are implemented to bring about a noticeable financial improvement in the short term, but show no effects in the medium and long term, or, in the worst case, lead to a deterioration in times of growth in the long run.

A globally operating industrial company commissioned us to implement an optimization program for the corporate group. The objectives were to improve liquidity, optimize cost structures, and maximize profit margins. However, the most crucial requirement was that, besides short-term stabilization measures, particularly long-term effective measures should be identified and created to have a sustainable impact on the corporate structure.

In a cooperative collaboration with the client, Vindelici identified three areas of action: liquidity, costs, and resource utilization, which form the framework of the efficiency program within the organization. To counteract negative effects, these areas of action were initially grouped into so-called “Short-term Boosters” or “Permanent Enhancements.” Short-term Boosters can be used in times of crisis for a limited period and must be proactively scaled back during growth phases. Permanent Enhancements, on the other hand, must be implemented to sustainably change operational models and achieve efficiency gains.

To ensure the actual implementation of the developed measures, a corresponding controlling system was introduced. Through this system, the execution of measures is structured and monitored, and the achievement of measure objectives is transparently presented.

The implementation of the efficiency program provided the client with short-term actions through the Short-Term Boosters to remain operational with effective cost reductions and to achieve a stabilization of the situation.

Of particular importance was the implementation of the “Permanent Enhancement” measures, which enabled the company to achieve sustainable optimization and cost reduction potentials in various areas (including production, after-sales, administration), which also had an effect in the form of a more efficient and effective organizational structure during renewed growth.

In a volatile and cautious market environment, accompanied by high interest rates and inflationary costs;, companies across nearly all industries are experiencing significant economic pressure. Additionally, geopolitical tensions and recessions in key markets pose further risks to long-term growth security. To address these challenges, early actions are crucial, focusing particularly on ensuring liquidity, optimizing cost structures, and advancing organizational structures.

A common issue with cost reduction and optimization programs is that measures are implemented to bring about a noticeable financial improvement in the short term, but show no effects in the medium and long term, or, in the worst case, lead to a deterioration in times of growth in the long run.

A globally operating industrial company commissioned us to implement an optimization program for the corporate group. The objectives were to improve liquidity, optimize cost structures, and maximize profit margins. However, the most crucial requirement was that, besides short-term stabilization measures, particularly long-term effective measures should be identified and created to have a sustainable impact on the corporate structure.

In a cooperative collaboration with the client, Vindelici identified three areas of action: liquidity, costs, and resource utilization, which form the framework of the efficiency program within the organization. To counteract negative effects, these areas of action were initially grouped into so-called “Short-term Boosters” or “Permanent Enhancements.” Short-term Boosters can be used in times of crisis for a limited period and must be proactively scaled back during growth phases. Permanent Enhancements, on the other hand, must be implemented to sustainably change operational models and achieve efficiency gains.

To ensure the actual implementation of the developed measures, a corresponding controlling system was introduced. Through this system, the execution of measures is structured and monitored, and the achievement of measure objectives is transparently presented.

The implementation of the efficiency program provided the client with short-term actions through the Short-Term Boosters to remain operational with effective cost reductions and to achieve a stabilization of the situation.

Of particular importance was the implementation of the “Permanent Enhancement” measures, which enabled the company to achieve sustainable optimization and cost reduction potentials in various areas (including production, after-sales, administration), which also had an effect in the form of a more efficient and effective organizational structure during renewed growth.