Implementation of a cost-elimination breakout Dynamic

Company: Spain Factory of World Leader in Automotive Sector

Project goal

Implement short-term cost elimination dynamics that enable:

  1. Increase the company’s cash flow.
  2. Support the achievement of an operational margin of 2.5%.
  3. Save 40 million euros for the factory through an 8-week intervention.

Phases of the actory

  1. Launch of dynamics at all levels of the actory
  2. Data collection and creation of the war-room space
  3. Deployment of workshops for each of the 8 defined areas for cost elimination using benchmarking and idea generation techniques
  4. Express studies of cost-elimination breakout ideas
  5. Conclusions and validation of savings by the Financial Directorate
  6. Monitoring and implementation of actions

Benefits obtained

  1. Definition of a single indicator to measure project savings > the cost of delivering the product
  2. Savings identified at 40 million euros

Value contributed by Montalto Consulting Group

  1. Strategic and global expertise
  2. Mastery of team animation and idea generation techniques
  3. Experience in factory planning, structure and communication