Global Consumer Goods Company Reverses 4% Decline to Achieve 6% Growth by Accelerating Innovation with Lean Product Development
Client Context
- $12 Billion global diversified consumer goods company
Key Challenges
- The company grew as a conglomerate of small independent businesses, operating as a holding company. It is losing money due to a highly fragmented leadership
- The aim is to align the synergy to survive
- Many languages, strong country, and individual company cultures (competition) with inconsistent performance across countries
- Strong founder influence still in place
- Footprint of small development centers based on growth and acquisitions
Approach & Key Success Factors
-
- Assessment, Problem Definition & Alignment. As-is assessment of each area from their own and corporate perspectives, synthesized into one problem statement for alignment
- Engagement & Planning. Each business area selected a leader as a representative. A wholistic plan was created with individual subplans to accommodate gaps and needs.
- Visual Management to engage people so everyone could engage in real-time ‘seeing the work’, and ‘seeing the issues’ to execute effectively.
- Reusable Knowledge. Knowledge was captured on limit and trade-off curves and all new developments were executed through set-based learning
- Integration Events involving all key stakeholders facilitating collaboration & optimization of designs
- Entrepreneurial Systems Designers managing development efforts across company’s entities
Results
6%
Growth
35%
Increase in R&D efficiency
30%
Acceleration in Time-to-Market
4x
Increase in Revenue from New Products
50-95%
Project on Time Improvement