-1-STR-0211-01485-01-03Costreductionprogram–Projectdocumentation–SAIAutomotiveTriangelerDämmstoffwerkGmbH(TDW)Sassenburg,March18,1999RolandBerger&PartnerGmbH–InternationalManagementConsultantsBarcelona–Beijing–Berlin–Brussels–Bucharest–Budapest–BuenosAires–Delhi–Detroit–Düsseldorf–Frankfurt–HamburgHelsinki–HongKong–Kiev–KualaLumpur–Lisbon–London–Madrid–Milan–Moscow–Munich–NewYork–ParisPrague–Riga–Rome–SãoPaulo–Shanghai–Sofia–Stockholm–Stuttgart–TelAviv–Tokyo–Vienna–Zurich-2-STR-0211-01485-01-03ContentsPageA.ManagementSummary–ThecostcuttingpotentialatTDWisrestrictedtoDM4.4m,additionalsavingsrequireamoreholisticapproach3B.Projectapproach–Bottomupdefinitionofcostcuttingmeasuresinclearlydefinedoptimizationunits,integrationofadditionalsavingsrequiredbySAIAutomotiveheadquarters8C.ReductionofcostsatTDW–Coststructuressufferfromlimitedclarityandtransparency,measuresforcostsavingsofDM4.4mboth,infixedanddirectcosts121.Descriptionofthecoststructure132.Assessmentoffixedcostsstructure213.Measuresforcostsavings39D.Improvementofprocessefficiency–Leveloffixedcostsiscausedbystructuraldeficits,organizationaloptimizationappearsattractiveforadditionalmajorcostreductions57Thisdocumentwascreatedfortheexclusiveuseofourclients.Itisnotcompleteunlesssupportedbytheunderlyingdetailedanalysesandoralpresentation.ItmustnotbepassedontothirdpartiesexceptwiththeexplicitpriorconsentofRolandBerger&Partners.-3-STR-0211-01485-01-03A.ManagementSummary–ThecostcuttingpotentialatTDWisrestrictedtoDM4.4m,additionalsavingsrequireamoreholisticapproach-4-STR-0211-01485-01-03CostscanbereducedbyDM4.4m–RolandBerger&PartnersexpectadditionalsavingspotentialfromorganizationaloptimizationExploitationofallavailablecostreductionpotentialsTriangelerDämmstoffwerkGmbHOrganizationaloptimizationforefficientbusinessprocessesTwopillarsforprofitimprovement?(seechapterC)(seechapterD)Source:RolandBerger&Partners-5-STR-0211-01485-01-03CostreductionbyclassicalmeansisrestrictedtoDM4.4m–existinglevelofefficiencyandstructuralconditionsatTDWarethemainreasons•BenchmarkingofTDW'soverheadstructuresrevealsanaverageperformancecomparedtootherGermanautomotivesuppliers–thepreliminarytargetofDM5.6mappearslittlerealistic•AvarietyofmethodstoreducefixedcostsaddsuptoDM1.5m–majorpartsofthesesavingsarealreadybudgetedandreportedtotheParisheadquarters•Besidesfixedcostssavings,DM2.9mindirectcostssavingshavebeenidentifiedinthecourseoftheprojectSource:RolandBerger&Partners-6-STR-0211-01485-01-03However,therearealternativewaystosignificantprofitimprovements–opti-mizationofbusinessprocessesdependsonorganizationalstructures•QuestioningthestructuralconditionsatTDW,twoadditionaldriverstomajorprofitimprovementshavebeenidentifiedduringtheproject–SubstantialmodernizationofinfrastructureatSassenburg–Efficiencyimprovementofkeybusinessprocesses•InvestmentsinmachineryandbuildingsatTDWaresubjecttolong-termbusinessprospectsandlikelytomissSAIAutomotive'sinternalpay-backexpectations•Duetoitsrelativelylowvalueadded,TDWsuffersfromlimitedinfluenceonprocessefficiency–foroverallprocessoptimizationwithinSAIAutomotive,organizationalstructuresneedtobeconsideredSource:RolandBerger&Partners-7-STR-0211-01485-01-03Long-termsuccessofTDW–aspartofSAIAutomotive–requiresboth,costreductionsandprocessimprovements–parallelapproachpropo...
