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    Hi-Tech & Electronics Company Success Story

    Building a professional supply chain and operations platform to facilitate growth

Breaking down silos, improving collaboration and achieving measurable, sustainable change

The challenge

Having been the market leader for more than 80 years, this high-tech and electronics manufacturer was stagnating in terms of growth. Now under PE ownership, the company had begun its transition from a small to a mid-sized organization and needed growth to be faster and more sustainable. Leadership recognized to achieve this they would need help with capability development across the entire business.

Maine Pointe was called in to help drive savings and improve the maturity of operations, procurement and logistics. This required a significant cultural change to break down internal silos and drive end-to-end collaboration to maintain quality, increase capacity and improve customer service.

This story is for private equity firms and company CEOs who want to:

  1. Build a supply chain and operations platform to facilitate growth through improved capacity, quality and customer service
  2. Support rapid growth of a company by improving the maturity of operations, procurement and logistics, capturing significant financial benefits along the way
  3. Break down functional silos, drive collaboration and achieve measurable, sustainable change
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Creating the conditions for scalable growth

Maine Pointe conducted an in-depth analysis which revealed a low-maturity, heavily siloed organization where there was some resistance to change. Procurement did not have leverage with suppliers and, as a consequence, the company was leaving money on the table. In addition, by sourcing technology parts from a sole provider, they were placing the company at risk. While logistics was in a better position in terms of leverage, they needed to consider a more integrated solution. Management were aware of potential opportunities within their operations but were struggling to realize them.

All of these difficulties were exacerbated by poor data analytics and very limited forecasting ability. Maine Pointe’s subject matter and industry experts, supported by our Leader and Organization Improvement program, deployed Total Value Optimization™ to break down barriers and build better cross-functional collaboration. This led to behavioral changes which, in turn, promoted a better understanding of each function’s role in driving down costs and achieving the company’s goals. More specifically we:

  • Identified and resolved production bottlenecks while optimizing the manufacturing footprint
  • Introduced new strategic partners to reduce risk, protect IP and support sustainable growth
  • Improved communication with suppliers (incumbent and new), making it clear they would need to improve price and quality to be part of the company’s growth
  • Installed a rigorous and effective Procurement Management Operating System to achieve the best value while increasing product margins
  • Improved the field installation process to provide better cost and workflow
  • Set up an integrated logistics provider to serve the client’s customers better than before
In addition, Maine Pointe helped set up cross-functional teams. This has encouraged the client’s people to take ownership of achieving shared goals. As a result, maturity across the supply chain and logistics has increased and the processes are in place to sustain change, lay the foundations for growth and continue the journey towards Total Value Optimization™.

The results

Working closely with the client’s team, Maine Pointe’s Total Value Optimization™ approach helped break down barriers and bring cross-functional alignment, resulting in:

  • Transitioned products to higher-tier global manufacturers, producing better quality solutions at 25% lower cost
  • Delivered 21% savings on combined procurement, logistics and field installation spend
  • Improved production capacity to support a 20% revenue increase
  • Additional savings boosted product margins by 20%
  • Improved EBITDA by 16%
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 Delivering on our promises

Maine Pointe consultants, working with our team, elevated our competitive edge in the market place and positioned our company to absorb additional work through sales via organic growth or mergers and acquisitions.” – CEO



Lessons learned for other executives4squares.png

  • Even when you think you have a lean operation, you can still drive additional savings and capacity 
  • Implementing an effective management operating system is crucial to driving sustainable results
  • Significant value can be derived from breaking down internal silos and driving cross-functional collaboration  

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