A leading retail company was in a phase of reorganization with the aim of significantly improving its current earnings situation. A new management team and personnel changes at management level had created the framework for questioning the status quo. To bridge a bottleneck and implement the reorganization measures, the company hired the interim manager on a temporary basis as Head of Supply Chain.
The company is one of the leading retailers of consumables, tools, accessories and services for professional users in the construction, automotive and industrial sectors. As a German subsidiary, it is part of an international group. The company sells its products through multi-channel sales via the sales force, a call center, service points and online.
After analysing weak points, technical measures for stabilization were developed
As part of a warehouse assessment, the interim manager worked with the managers to identify a range of potential improvements. After several workshops with management and the leadership team, the following suggestions were implemented
- Optimization of the picking strategy
- Optimization of material flow and work processes - plant structure planning
- Revision of the warehouse allocation strategy
- Investments in conveyor technology and automation.
In addition, the interim manager reorganized work preparation and procurement. Overall, he significantly reduced the headcount in all areas.
KPI dashboard developed - involvement in the introduction of Sales & Operation Planning (S&OP)
The interim manager developed an Excel-based KPI dashboard, which was made available online, to measure success and present the degree of fulfillment as well as to keep an eye on the critical success factors. As part of the activities, a holistic process of cross-departmental corporate management was established in the company in order to achieve the optimum balance between demand and supply.
Change promoted through coaching and training of managers and employees
The targeted changes were achieved quickly and sustainably through coaching and training of managers and employees. As part of the mandate, the interim manager also worked closely with the operational management team to initiate regular progress reports to the management and board. Management meetings were held at longer intervals to discuss implemented changes and upcoming measures and to approve significant adjustments and investments.