It often takes determination to get to the bottom of a complex problem and find a workable solution. How persistent can you be? Do you have the character to excel in Strategy Consulting?
A leading European food manufacturer called on PwC to examine its cost base, particularly its purchasing strategy for raw materials, to help it understand how to save substantial costs - but without compromising on quality. Leila Stansfield was two years into her career with PwC's Strategy practice when the project began.
Saving money - strategically
'The client had been buying the same things from the same companies for a long time,' she explains. 'They turned to us as they were too busy with their own day jobs to give proper time and thought to their supply chain approach - and because we had the track record and expertise to make a real difference.'
The PwC team spent considerable time talking to the client's in-house buyers: 'It wasn't a case of us versus them,' says Leila. 'They were as keen as us to find a solution - and in fact, we wanted to understand where they themselves thought there might be opportunities to recover costs and add value.
'Take, say, a frozen chicken product. We'd look at everything that happened from the moment an egg was produced to when the chicken turned up on a plate - how long each stage took, which country it happened in, who was doing what, how much it cost and who was making money out of it; all the time thinking about whether, if the client bought differently, they could save money and keep more of their profits.'
Becoming experts
It was also vital that Leila and her colleagues firmly understood the industry and its economics. They conducted a raft of interviews with industry experts, trade associations and companies in the food supply chain sector, and attended a number of trade fairs, to get the lowdown on what was going on in the market.
A huge amount of data analysis was also required: 'We looked at the client's internal systems. For instance, we discovered that they were buying small amounts of similar raw materials and not consolidating to use their bargaining power more effectively. We had to drill deep down into their cost base - and beyond, even looking at their suppliers' fuel, staffing and materials costs.'
Armed with their findings, PwC's people provided step-by-step plans to empower the client to revisit its suppliers and to consider buying differently - including, for the first time, holding an open tender for a key part of its business. Leila says, 'We didn't just provide information; we also helped them decide who was best within their existing team for each part of the process - after all, we couldn't be there forever; they needed to be able to move forward self-sufficiently and with confidence.'
The client is very much still in touch with PwC: 'They've gained huge cost savings - with lots of potential for further more through buying strategically and really understanding their supply chain,' says Leila. 'They've since approached us for help with other issues, and we've been able to turn round action plans and strategies for them, often within incredibly tight timeframes.'
A mix of skills and mindset
So what does it take to excel on a project like this? 'You must be more than intelligent and proactive - you have to be interested,' says Leila. 'You have to go in with the mindset that you're not going to just accept what people tell you; that you're going to do what it takes to get right to the bottom of the problem, all the time being focused on the client's objective.'
That means being willing to speak up and give your opinion: 'Strategy doesn't hire people simply for being good at maths or presentations,' she says. 'Of course, those skills are important - but what's really crucial is that when you've done the analysis, you think about what it means for the client and therefore what should happen next. It's not unlike a case study or project you might be given during your degree studies - you're expected to do more than just stop when the numbers have been crunched. For me, that's what makes this job interesting.'
And working with clients who, while wanting to improve, might be sensitive about their own individual performance being subjected to scrutiny, requires sound people skills. 'It's all about getting onto their agenda,' says Leila. 'We can't arrive there all-knowing - we have to recognise the value of the client's people. That sometimes means having to act and talk delicately, mindful of where they sit in the overall equation. If you're used to working in a team environment, that's a good foundation as you'll know about the importance of listening to everyone's view.'
The project was illuminating for Leila too. 'A key learning point for me was to realise how far you can come in a short space of time if you're persistent,' she says. 'From a broad client brief, we had to learn a huge amount of detail, then translate that back up again for the client in a way that was understandable and actionable. It was immensely rewarding.'
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