The Mission
In the warehousing and handling equipment sector, we delivered a 6% reduction in average COGS for a high-runner product portfolio. This was achieved through redesign-to-cost of 50+ existing configurations across two product lines, design-to-cost of two new products, and the substitution of higher-cost legacy models.
Our Approach
1. Screen cost reduction pipeline
- Build relevant PBS-driven bundles to minimize workload and avoid rework
- Assess workload, prioritize, and allocate adequate skills/resources
- Build a detailed planning
2. Build management system
- Build relevant PBS-driven bundles to minimize workload and avoid rework
- Assess workload, prioritize, and allocate adequate skills/resources
- Build a detailed planning
3. Execute pipeline
- Assess industrial impacts, risks and investments
- Develop new design, new supplier, new manufacturing flow
- Ensure smooth transition from old to new references and/or suppliers.
The Impact
- Successfully secured 22 cost reduction ideas with 2.4M€ of yearly savings
- Implemented an end-to-end management system to reach targets by 2026
- Upskilled main site project team until full autonomy, while preparing trainings for other sites
After only three months, we secured 2.4M€ in annual savings while building the implementation roadmap to reach 6% COGS reduction.
