A Large-Scale Cost Transformation Identifies $1 Billion in Savings
How BCG streamlined the organization and strengthened the cost competitiveness of a top consumer durables manufacturer.
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Operations can be a vital component of competitive advantage—and achieving excellence is more important than ever. BCG’s operations consulting teams help clients unlock value from every aspect of their operations.
Maximizing operational efficiency and effectiveness has never been easy. Yet excelling at operations management is even more daunting today owing to supply chain disruptions, trade instability, changes in customer expectations, and the rise of digital operations. At BCG, we partner with clients at every level of their organization to drive transformational change—and impact—in key areas of operations management ranging from procurement, service operations, and supply chain to manufacturing, capital project management, and end-to-end operational excellence.
RELATED SERVICES: Manufacturing, Industry 4.0, Culture and Change Management, Operational Risk and Resilience
At BCG, we know that excellence in operations—including managing operational costs and driving topline growth--is core to both competitive advantage and a sustainable future. We draw on our global operations consulting team to deliver tangible, enduring impact across our clients’ entire operations management value chain.
To unlock this potential, we partner with our clients at every level of the organization. And we deploy a unique blend of industry, operations, and digital operations expertise to accelerate results while building capabilities customized to each client’s unique circumstances.
We strive to help our clients win today and thrive tomorrow.
BCG was named a leader in the IDC MarketScape: Worldwide Operations Improvement Consulting Services 2023–2024 Vendor Assessment due to our focus on fast, measurable impact through execution and more.
We have completed more than 3,000 operations projects for clients in recent years. The stories featured here speak to the impacts our operations teams have achieved through close partnerships with clients.
How BCG streamlined the organization and strengthened the cost competitiveness of a top consumer durables manufacturer.
Read the full story here
To pioneer a digital transformation of its operations, global automotive supplier Forvia partnered with BCG to define its ambition and implement digital use cases. Here's how.
BCG engaged with an aerospace and defense organization to set up a groupwide shared-service center for indirect procurement spending. With the target model in force—supported by optimized processes, governance, tools, and KPIs—the organization achieved savings of €500 million, demonstrating the power of effectively managing operational costs.
We worked with a global oil company on a capital project to design, engineer, and build a large-scale offshore drilling program to be deployed over a period of 20 to 30 years, with capex of more than $200 billion. Our analysis led to the implementation of several capex optimization initiatives for offshore fields, such as project management offices, that reduced program costs by 15% to 20%.
We assessed the supply chain strategy of a manufacturer of commodity chemicals, then aligned its segmentation with market needs. As a result, the company achieved a 2% lift in revenue and a 15% drop in inventory.
Supply Chain AI takes a holistic approach to transforming a company’s supply chain. Backed by a unique set of AI solutions from BCG X—including Supply Network Optimization, End-to-End Plan, and Value Chain Digital Twin—we enhance seven key supply chain capabilities while developing the plans, processes, skills, and culture that fuel and accelerate transformation.
Manufacturing AI by BCG X’s integrated offering for AI-powered manufacturing transformations brings together BCG’s operations know-how and BCG X’s advanced analytics capabilities to unlock value at scale on the shop floor, enabling a 10% to 25% productivity improvement.
Advanced analytics and AI enablers optimize spend, category management, and supplier collaboration.
Our proprietary solution provides performance comparisons against best-in-class leaders to unlock competitive advantage in operations.
Our Innovation Center provides a network of capabilities and offerings at digital and physical model factories in North America, South America, Europe, and Asia. We offer workshops and assessments, as well as hands-on-testing and experimentation with numerous advanced technologies in operations.
The 1,000-plus operations 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 areas such as operational cost consulting, generalist consultants with a focus on operations, senior advisers, and Operations Center members.