Situation
- The client was a $10B oil and gas company, spanning nine product lines and seven regions
- Company had completed a merger with a like-sized competitor 18 months previously
- Profitability was lagging and a large number of quality issues were arising
Bespoke Solutions
- SLKone reviewed key activities for rationalization and efficiency opportunities to increase productivity and reduce overall functional cost
- Performed an organization structure analysis that identified excessive layers and low spans of control across the organization
- In addition, our analysis revealed that 800 quality employees existed relative to a 400 person expectation
- Interviews were performed with leadership to identify improvement opportunities and work sessions
- Established a Project Management Office and coordinated opportunities
- Designed roles and responsibilities and delineation of activities
Leading With Results
- 20% reduction in the number of audits performed by consolidating the quality compliance audits performed and necessitated per site
- Factor of 3, the reduction in the number of items inspected after expanding the ‘Supplier Self Release’ program and Skip Lot receiving inspection policies
- 30% increase in the span of control and two layers removed from the organization with the new company structure
- 25% overall productivity gains were achieved, resulting in $20M in functional spend reduction