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Newly Merged Aerospace & Defense Companies Function as One (CS268)

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A manufacturer of simulators for commercial airlines and aircraft manufacturers acquired a manufacturer of simulators for the military. Both companies were eager to join forces but the differences between their two cultures threatened the relationship and the potential savings resulting from a successful integration.

The process of bringing two successful, strong-willed, but disparate companies into sync, while ensuring synergy savings, drew on SGS Maine Pointe’s proven expertise in end-to-end supply chain collaboration, standardization, negotiation, and governance.

The Results with SGS Maine Pointe:

  • Exceeded expected synergy savings by 25%, for a total of $40+ million.
  • Chartered 650 tasks and milestones in detail, with daily and weekly updates of progress to plan and consistent KPIs and metrics.
  • Embedded early warning indicators (EWIs) for late starts or late completes to keep the progress on schedule from day one.
  • Increased efficiencies and effectiveness of teams, took the risk out of cultural integration, and established accountability.
  • 5:1 ROI.

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