A MAJOR US UTILITY ($13 billion revenue - 23,000 employees)
After a year long internal cost cutting project failed to produce the earnings improvement the CEO needed, several of the Nation's largest consulting companies were asked for proposals.
EMG's proposal was for a ten week CEO sponsored project that would :
Deliver a sustainable $300 million SG&A reduction along with undetermined Capital and Inventory reductions and a improved employee engagement.
The project would be complete in ten weeks and involve a small EMG staff
Because the WARN ACT announcement had been issued at 3000, we believed SEI could hit the numbers with a reduced number of job losses
The fee structure would be based on the results
EMG was awarded the project the same evening the presentations were given
THE TEN WEEK RESULTS:
A SUSTAINABLE SG&A REDUCTION OF $300 MILLION
A REDUCTION TO APPROVED CAPITAL OF $200 MILLION
AN INVENTORY REDUCTION OF $45 MILLION
PREVIOUSLY ANNOUNCED LAYOFFS REDUCED BY 60%
ALL FROM EMPLOYEE ENGAGEMENT