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Renovating from
the inside out...
Facing increased competition and a costly labor pool, a leading service provider had cause for concern. The company’s cost of doing business was high while its reputation in the marketplace had declined, in part due to service issues.
Rising costs and lackluster service were not unique problems, the company learned, acknowledging trends within its industry and sector. Still, management knew it could do better.
“Plenty of service businesses have faced the same situation,” said PwC Advisory Partner Tom Puthiyamadam, “Our client chose to tackle it head on in an aggressive manner. They were after significant change.”
Having resolved to change course, the company mandated improvements across the board—from customer service and employee productivity to increased sales growth and margins. Company leaders turned to PwC for the firm’s ability to guide transformational change.
PwC brought in a carefully selected team to work closely with the company’s senior leadership. Together, they established a three-year, enterprise-wide transformation program aimed at correcting shortcomings in many facets of the business—people, processes, and technology.
Changes began to take shape early, beginning with a determination of where the service company stood in relation to market needs, competitive dynamics, and its own core values. Analytics professionals from PwC provided a strategic assessment of the marketplace, while team members with a deep knowledge of service delivery provided industry insights.
As the work progressed, the outline of a new business approach began to take shape, along with the identification of potential shortcomings in the company’s current operating model.
Explained Puthiyamadam, “Our client wanted to first understand its current situation, then gain an understanding of what could be achieved over time. Finally, they wanted to establish a transformation plan for the next three to five years. They turned to us because we had an intimate knowledge of their business and a multi-talented team to help them get there.”
The service company also sought a detailed transition plan and guidance to help change efforts from organizational design to industry-specific IT.
“With our global reach, we could quickly assemble a team that had both strategic understanding and execution know-how,” said Puthiyamadam, “For example, we were able to show how a labor-intensive business such as theirs could transform itself through teaming, innovation, execution, and IT enablement—not with generic IT, but by leveraging specific IT capabilities that could really serve this industry.”
Changes coming out of the company’s new roadmap included a new management system, major organizational redesign, new processes, new performance measures, and new supporting technologies. PwC helped drive a smooth implementation of the large program, minimizing staff impact and organizational disruption.
Transformation specifics:
“They are seeing first-hand how to take an existing function and set of processes, and really begin to improve them through better practices, practical innovation, and strong industry performance,” said Puthiyamadam, “The talent bar for this type of activity has been raised within the organization, with the goal of never needing another enterprise transformation program— just continuous improvement over time.”
the inside out...
A service company reinvents itself from the inside out
Facing increased competition and a costly labor pool, a leading service provider had cause for concern. The company’s cost of doing business was high while its reputation in the marketplace had declined, in part due to service issues.
Rising costs and lackluster service were not unique problems, the company learned, acknowledging trends within its industry and sector. Still, management knew it could do better.
“Plenty of service businesses have faced the same situation,” said PwC Advisory Partner Tom Puthiyamadam, “Our client chose to tackle it head on in an aggressive manner. They were after significant change.”
Having resolved to change course, the company mandated improvements across the board—from customer service and employee productivity to increased sales growth and margins. Company leaders turned to PwC for the firm’s ability to guide transformational change.
PwC brought in a carefully selected team to work closely with the company’s senior leadership. Together, they established a three-year, enterprise-wide transformation program aimed at correcting shortcomings in many facets of the business—people, processes, and technology.
Changes began to take shape early, beginning with a determination of where the service company stood in relation to market needs, competitive dynamics, and its own core values. Analytics professionals from PwC provided a strategic assessment of the marketplace, while team members with a deep knowledge of service delivery provided industry insights.
As the work progressed, the outline of a new business approach began to take shape, along with the identification of potential shortcomings in the company’s current operating model.
Explained Puthiyamadam, “Our client wanted to first understand its current situation, then gain an understanding of what could be achieved over time. Finally, they wanted to establish a transformation plan for the next three to five years. They turned to us because we had an intimate knowledge of their business and a multi-talented team to help them get there.”
The service company also sought a detailed transition plan and guidance to help change efforts from organizational design to industry-specific IT.
“With our global reach, we could quickly assemble a team that had both strategic understanding and execution know-how,” said Puthiyamadam, “For example, we were able to show how a labor-intensive business such as theirs could transform itself through teaming, innovation, execution, and IT enablement—not with generic IT, but by leveraging specific IT capabilities that could really serve this industry.”
Changes coming out of the company’s new roadmap included a new management system, major organizational redesign, new processes, new performance measures, and new supporting technologies. PwC helped drive a smooth implementation of the large program, minimizing staff impact and organizational disruption.
Transformation specifics:
- New cost-sharing principles and methodologies enabling the company to consolidate space, save money, and improve the efficiency of its regional network
- Consolidated back-office functions and centralized demand-management activities, allowing regional organizations to focus on their core missions
- Centralized service delivery activities to improve efficiencies and decrease costs
- Human capital retention and turnover metrics to establish baseline measurements for continuous improvement
- Improved regional organizational structure, sales processes, training, and management techniques
- Designed and built supporting infrastructure for new customer offerings, meeting market needs while creating scale and service advantages
“They are seeing first-hand how to take an existing function and set of processes, and really begin to improve them through better practices, practical innovation, and strong industry performance,” said Puthiyamadam, “The talent bar for this type of activity has been raised within the organization, with the goal of never needing another enterprise transformation program— just continuous improvement over time.”
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