Discover how RHI Magnesita, in collaboration with BCG, is revolutionizing its global production network, unlocking unparalleled efficiency, cost savings, and operational breakthroughs.
Our Approach to Operational Excellence
BCG’s operational excellence consulting teams help clients unlock efficiency and effectiveness by assisting with holistic value-chain transformation to enhance service and quality, reduce costs, and mitigate risks. We help organizations respond to unprecedented uncertainty by building resilience through competitive cost advantage.
How We Help Clients Achieve Operational Excellence in End-to-End Operations
Clients choose BCG as their operational excellence partner for:
- Unlocking new value fast—by zeroing in on the most promising operational innovation opportunities
- Tying operational excellence to business strategy—by aligning capabilities and performance to key enterprise strategies
- Sustaining success—by working with leaders across the organization to make sure that operational gains persist for the long term
- Strengthening their own capabilities—by equipping them with the digital tools, skills, and knowledge needed to tackle their toughest operational challenges on their own
- Optimizing the supply chain across functions—by breaking down silos and enabling transparency throughout the operational process
The result: a leaner, more agile enterprise that can flex as needed to win—not just now but also far into the future.
We are uniquely positioned to help clients extract maximum value from their operational excellence programs, bringing several core strengths to every project, including:
Global Integrated Teams
The 1,000-plus operations excellence consultants who make up our global network have a long track record of partnering closely with clients to help unlock new value from every aspect of their operations. Our team includes dedicated experts in operational cost consulting, generalist consultants with a focus on operations, senior advisers, and members of our operations centers of excellence. And our teams work closely with
BCG X, the tech build and design unit of BCG that includes tech builders, designers, and entrepreneurs.
An Extensive Suite of Tools and Solutions
Through our comprehensive suite of tools and solutions, we help clients unlock value from every aspect of their operations, including transforming key business processes and optimizing
supply chains. For example, we offer tools that enable clients to measure, track, and reduce their environmental footprint; diagnose inefficiencies in their design-to-value, sourcing, and
manufacturing processes; identify ways to optimize their asset networks; and assess their digital maturity to pinpoint the most promising improvement opportunities. We also offer a spectrum of services in our
Innovation Center for Operations around the world.
A Strong Track Record of Success
In recent years, our operational excellence consulting teams have completed more than 5,100 projects across industries and sectors as diverse as industrial goods, consumer packaged goods, financial services, automotive, health care, high tech, media, manufacturing, infrastructure, and public service. Drawing on insights gained from these projects, we regularly publish studies and articles that provide leading-edge, practical advice for clients seeking to take the next step in their operational excellence journey.
Our Operational Excellence Work with Clients
A regional spirits manufacturer aiming to become a global brand asked BCG to help optimize its supply chain. A comprehensive overview pinpointed improvement opportunities in areas such as bottling plant capacity and S&OP efficiency. The analysis uncovered significant value-creation opportunities—including $70 million to $80 million in inventory reductions and $11 million to $13 million in COGS.
Two
industrial goods manufacturers merged and asked BCG to help them capture synergies, maximize service quality, and minimize costs and complexity in products and materials. Projects including cost modeling, plant capability assessments, and supplier negotiation strategies positioned the new entity to achieve $130 million in run-rate savings—more than 1.5 times the initial synergy target.
A global Tier 1
automotive supplier enlisted BCG to help stabilize its supply chain network as the pandemic struck. We established a COVID-19 task force with focus areas including health and safety and volume forecasting, and supply chain and logistics control towers to boost efficiency and decrease operating costs. Encouraged by these moves, the client considered extending the work into the following year.
A federal government agency engaged BCG to create a COVID-19-response roadmap and evaluate
infrastructure investment risks, including supply shortages. Through investment-scenario modeling and interviews with senior government officials, we confirmed supply stability for most materials, identified potential logistics choke points, pinpointed bottlenecks in project-approval processes, and identified procurement-process improvements—setting the stage for recovery and resilience.
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November 15, 2024
Our Operational Excellence Services and Tools
The following services and tools provide a glimpse into the level of sophistication and rigor our operational excellence consulting experts bring to every client engagement:
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Solution
Competitive Cost Advantage
We help organizations respond to today's unprecedented uncertainty by building resilience through competitive cost advantage.
Competitive Cost Advantage
Solution
Solution
End-to-End Process Transformation (E2E PT)
E2E PT blends process optimization with digital tech to boost efficiency, enhance customer experience, and drive transformation.
End-to-End Process Transformation (E2E PT)
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Solution
End-to-End Supply Chain (E2E SC) Optimization
E2E SC Optimization helps businesses tackle supply chain challenges, optimize operations, reduce costs, and implement digital solutions.
End-to-End Supply Chain (E2E SC) Optimization
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Supply Network Optimization by BCG X
Within Supply Chain AI, Supply Network Optimization helps build a resilient, sustainable, and cost-efficient product supply network.
Supply Network Optimization by BCG X
Competitive Cost Advantage
We help organizations respond to today's unprecedented uncertainty by building resilience through competitive cost advantage. Our new approach sets a clear mandate for action, seizing the opportunity to evaluate and achieve cost potential through organizational and operational lenses. Throughout each program, we enable clients to manage the change and ensure the organization feels ownership for sustaining cost savings. Competitive cost advantage enables companies to meet the urgent need to maintain or expand margins by becoming more cost efficient without sacrificing strategic capabilities and priorities such as climate and sustainability, digital, talent retention and acquisition, and upskilling.
Our Insights on End-to-End Operations
Article
November 18, 2024
BCG research reveals what sets a select group of leaders apart. Here's how to join them.
The best organizations know how to turn adversity into opportunity. We share how leaders can respond to today’s unprecedented uncertainty by building a competitive cost advantage.
Article
April 14, 2021
To enhance competitiveness, companies must take a clean-sheet approach to deciding what, where, and how to manufacture.
Article
May 19, 2020
BCG’s approach delivers greater efficiency, an improved customer experience, and a more engaged workforce, enabling banks to meet today’s challenges.
