International Manufacturer of Industrial Products and Services – Business Process Improvement
The Challenge
A major international manufacturer of industrial products and services with over $680 million in sales had recently hired a new CFO. The CFO asked each of the department heads to demonstrate their (and their department's) value to the company. The head of Corporate Real Estate (CRE) was struggling with the ability to accurately show meaningful and measurable metrics of his department's value and the impact that commercial real estate had on the company. Knowing that his job was potentially on the line, the CRE executive asked Teel StratVisor Group to help design real estate performance metrics and reporting standards to manage their vendors and provide superior service to their global customer base, while aligning the new metrics with the company's key performance metrics which were Return on Equity (ROE) and Return on Investment (ROI).
What We Did
We first asked the Client to complete the Strategic Diagnostic Survey to help benchmark areas within his department that fell short of industry standards. From there, the StratVisor team conducted interviews with key personnel, and reviewed materials on the organization, processes, systems, incentives/metrics and portfolio. The team documented the Client's current macro-level reports, metrics and inventory practices as well as the key processes the real estate group (and their vendors) performed, and designed the corresponding metrics to align with the company's key metrics.
From this information we developed a Strategic Decision Scorecard to demonstrate the enhanced value proposition. The StratVisor team then designed a dashboard (executive) reporting template that leveraged data from Virtual Premise so the executives of the company could quickly and easily access vital information. The final steps were to define the macro-level future state/direction and develop initiatives for the next 12-24 months to automate and streamline the administration of the metrics.
The Result
The result was a streamlined reporting process with reports based upon performance metrics for internal customers and the ability to manage external service providers. Ultimately, the CFO was impressed with how much value the department contributed and the CRE executive's job was secure.
Timing: 10 weeks
