Our client is a support division for a nuclear energy company. The business supplies a range of support activities to the parent and other members of the group. The group had recently introduced competitive bidding for support activities which could be supplied from third party providers.
Unfortunately, the support business had started to loose out to third party bidders for corporate work. This was becoming an increasing trend and the management was concerned that their business may disappear unless something was done.
The client asked us to review their business to see why they were loosing work to outside providers.
Key Project Activities
We conducted an in depth business review including internal customer survey, operational process review, executive and staff structured interviews.
As the new CEO said “we thought the group would always use our services and I guess we have taken them for granted…”
Having work-shopped the results of the business review with the executive team, the following were agreed:-
- Revised mission, vision and values to focus on the customer
- Strategy and plan to support the mission
- To actively seek circa 20% of income from sales to other energy companies to enable benchmarking and an external customer approach
- Process simplification to be based on customer needs (as opposed to internal legacy process/systems)
- Outsource non-core activities to save costs
- Invest in systems to improve efficiency and effectiveness
- Re-organised on customer priorities (eliminating the legacy functional structure) with a focus on customer facing project managers and pools of expert resource
- Introduction of customer account management role
- Delayering and elimination of non-value add activities (handled via early retirement and redundancies)
- Team based management process and incentive scheme
- Celebrating great customer service interactions & solutions
And a change programme was developed and implemented to deliver the above. The change programme consisted of the following teams and brief:
- Customer focus – how to serve the customer better?
- Operational effectiveness/efficiency – how to do more with less?
- Structure/Culture – how to organise around the customer and create a customer culture?