Many SG&A improvement initiatives and cost-reduction measures look like a success on paper when in fact tremendous value was left on the table. For some, it was because the strategy lacked a sufficiently granular evaluation of opportunities and trade-offs. This alone is enough to undermine the benefit of hitting a savings target while sacrificing far more than necessary in the process.
But another opportunity often missed is when the strategy doesn’t take into account the value of the interrelationships between people and processes, and the potential of these interrelationships to generate future value within the new organizational design.
| Proudfoot’s Labor Cost Optimization Assessment helps our clients go beyond mere “belt-tightening” or “doing more with less” to achieve substantial savings while laying the best foundation for future success and growth. Because the whole is greater than the sum of its parts, we don’t look at cost reduction as a subtractive process but rather as a creative process in which you are in effect building a new company. With this approach, we’ve helped our clients get far more from their organizational redesign, leading to impressive results. |
Results from Proudfoot
Organizational Redesigns:
|
Request a Labor Cost Optimization Assessment
Contact Proudfoot to initiate a two-week Labor Cost Optimization Assessment. We will identify your best opportunities to right-size your business and capture significant savings without sacrificing more value than necessary, and improve performance through a sequence of focused actions:
• Identify root causes of performance gaps and creating corrective action plans
• Increase visibility of key performance indicators, cost drivers and process bottlenecks
• Assess bureaucratic layers, behavioral factors, and skill and knowledge gaps
• Ensure the right employees are in the right place within the organization to drive future growth
