Auto Supplier Costs & Win Rate

Increased revenue and margins through process redesign

Situation:
An automotive supplier sought to improve costs and customer win rates. Core issues included tooling center cost overruns and organizational misalignment.

Actions:

  • Implemented Results Driven Management process across the entire value chain: sales, quoting, program management, project management, tooling, and pre- and final production
  • Provided interim management of the tooling center Aligned organization cross-functionally and implemented roles and responsibilities
  • Implemented targeted costing program that achieved >35% cost savings through engineering design changes and improved tooling costing
  • Developed sales force management tools
  • Established continuous improvement culture

Results: Increased revenue by $7.5MM and improved margins by 14% over base.

Kormac Results - Increased on-time delivery by 55%, Improved proposal win rate by 41%, Increased revenue by $7.5MM in 3 months, Increased margins by 14% over base. CS233