Review of the Pyramid through project examples
Turnaround in Profitability & Quality “India”
Focus Areas Growth: Products, Marketing & Price Points
Focus Areas Profitability: Economy of Scale & Agile Cost Composition
Targets: Strong improvements in Profitability and Quality.
Based on growth / cost reduction scenarios for both product categories the profitabilty got close to business plan.
With the adaption of the products to the daily running and usage conditions “Know Your Customer (KYC) approach” the quality was significantly improved.
Timeline of first improvement wave: 18 month
Realignment & Business Development Surface Cooking Europe
Focus Areas Growth: Innovation, Marketing & Price Points
Focus Areas Profitability: Economy of Scale & Sourcing
Targets: Shape the European cook-top market by applying a new technology.
Based on a business scenario of all relevant technologies covering market volume, price segments & market shares, huge potentials of this new technology were identified.
To get these potentials, 50% cost reduction as well as a strong innovation, product & patent portfolio needed to be realized.
The implemented new product & production architecture was the key for achieving long-term competitiveness.
Timeline: 24 month for 1st- and additional 18 month for 2nd wave
Disruptive Product Concept
Focus Area Growth: Revenues up through innovative Product
Targets: Reinvent a product application w/o any boundary conditions. Precondition: Low investment & double digit EBIT.
Based on a SWOT analysis of existing product concepts as well as reviewing conceptional approaches with consumers and kitchen specialists, a totally new product architecture was designed and developed.
Business plan underlined the targets and the preconditions of the project.
After strong ramp with innovation awards all over the world, sales numbers went below plan.
Timeline till launch of product: 24 month
Phase out of product 3 years after launch
Business Development Dish-Care China
Focus Area:s Step 1: Agile Cost Composition, Innovation & Marketing
Focus Areas Step 2: Accessibility up & Cost down through localization
Targets: Shape the Chinese Sterilizer Market to Dishwasher and ensure long-term double digit EBIT.
Based on market & business scenarios as well as SWOT analysis the focus areas got prioritized and realized.
Timeline step 1: 24 month
Timeline step 2: additional 18 month
Competitiveness Built-In Cooking Appliances
Focus Areas Step 1: All influecing factors of Cost Down
Focus Areas Step 2: Revenues & Accessibility up
Targets step 1: Keep the market shares & improve short-term profitability.
Targets step 2: Based on the achievements of step1 develop a long-term competitiveness approach for gaining market shares as well as keeping double digit EBIT.
Product architecture as well as Production & Sourcing footprint were fundamental changed to achieve the targets.
Timeline step 1: 12 month
Timeline step 2: additional 30 month
