Site Loader
55 Monument Circle, Indianapolis

The Challenge:
Following a series of acquisitions, this client one of the world largest construction supply companies with more than 200 US based branch operations and 15+ steel fabrication plants, needed to understand its Cost-To-Serve of the Steel business.

Results:
We conducted an extensive value stream analysis across all steel operations and 4 companies resulting in a financial model that illustrated the Cost Per Ton by the driving factors. In addition we identified several plants had been losing money for years and developed an implementation plan to improve EBIDTA.   

Highlights this client achieved:

  • From 4.0% to 8.0% annual Net Income % for Steel Fabrication.
  • Redesigned layout and flow of flagship fabrication plant.
  • Shutdown and migrated production of 2 loss leading plants.
  • Restructured P&L statements for the company to reveal true profitability – including changing accounting processes.
  • Built Executive, Business Unit, and Plant level dashboards, balanced scorecard and network optimization analytics.

Post Author: Quantumlytix