Orgvue case study: global logistics
Optimizing organizational structure for a global logistics provider to transition to a more agile, transparent, and cost-effective organization.
Customer story
Using Orgvue for cost optimization
A leading global provider of freight forwarding and supply chain management services was looking to optimize its organizational structure to reduce cost. The organization operates across 5 regions with over 40 area offices. Operating in a low margin business, the company wanted to optimize its costs by creating a simpler leadership structure for more effective management across the organization.
Despite having employee and cost data available, the company had no way of bringing it together and analyzing it efficiently. Since data was stored in multiple excel islands, even basic reporting took weeks of manual work. Getting a ‘single version of the truth’ was almost impossible. The company turned to Orgvue for a solution that could enable the team to consolidate, analyze and report on data in an instantaneous, visual and compelling way for faster and better decision-making.
40
Offices
Forty country offices’ standard set of reports were produced in less than 1 hour.
6
Days
Six days only to load, cleanse, visualize and report on data throughout the organization.
$15m
Cost saving
$15 million predicted total cost saving. $8m from Orgvue analysis and $7m from higher level re-structuring.
It was important for us to make data-driven decisions throughout our transformation. Orgvue helped us visually present the analysis of our people data in a clear and engaging way, making the case for change transparent and allowing leaders to easily engage with our message.
Head of Organizational Effectiveness of a global logistics provider
Business goal
- Consolidate, analyze and report on data in an instantaneous, visual and compelling way for faster and better decision-making.
- Flexible modeling for better decision making in the boardroom.
Solution
- Leaner structure with greater efficiency
- Turned rapid insights into actions.
- Rapid insights – automated reporting across 40 offices, giving insights into 11,000 people data.
- Powerful modeling – flexible and visual modeling for agile organization design.
- Process efficiency – reduced managerial workload, more value-adding analysis.
How
Orgvue’s simple data upload and instant workforce visualizations confirmed the ‘gut feel’ of senior leaders that there was unnecessary workload due to low spans of control and complex organizational layers. Orgvue’s ability to export the team’s insights and analysis into PowerPoint at the click of a button meant that it was much easier for decision-makers to get access to the workforce information they needed. The whole analysis and reporting process were sped up to a matter of days, saving the organization weeks of work.
Having shared insights into the management structure, the senior leaders used Orgvue in a series of workshops to rapidly identify key areas of improvement. Using Orgvue’s dynamic and flexible scenario modeling live in the meetings, stakeholders could directly analyze the impact of various interventions and select the best course of action. For example, one-to-one reporting lines were quickly highlighted, allowing leaders to consolidate and streamline teams, while optimizing revenue-generating roles. The project team has already predicted a $15m total cost-saving over the next 12 months, with additional long-lasting benefits of having an optimized organizational structure. With a new, leaner structure, the organization has improved its process efficiency, allowing employees to spend more time on value-adding activities every day.
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