Cornerstone

Category: Other case studies

  • Consumer products manufacturer cuts supply chain waste

    A consumer products manufacturer facing rising costs, particularly in promotional sales, sought to improve customer service, reduce inventory and develop and implement a process to manage its suppliers.

    CornerStone Approach

    CornerStone worked with the client’s leadership to define Driver Goals and implement a system for aligning the organisation’s activities with its high level targets. Teams mapped Promotional, Sales, Customer Service and other supply chain workflows to identify opportunities to improve key indicators and to shift towards a ‘make to order’ fulfilment process. Targeted improvement projects enabled the teams to achieve cost, lead time and inventory reductions. A structured operating system served to keep the client and its suppliers on track to maintain and grow gains.

    Actions Taken

    • Instituted a goal roll-out and translation process.
    • Developed and implemented a new ‘make to order’ process for Promotional Sales.
    • Designed and implemented a managing operating system for Promotional Sales.
    • Implemented a reward and recognition process.
    • Developed a barrier identification and removal process.
    • Co-ordinated changes in the Promotional Sales process between the client and its suppliers.

    Driver Goals

    • Improve Customer Service line item fill rates to 97%.
    • Reduce obsolete inventory to near zero.
    • Reduce order lead time from than 12 weeks to 9 weeks or less.
    • Reduce inventory turn time from than 35 days to 15 days.
    • Transition from a ‘make to forecast’ to a ‘make to order’ system.

    Results

    • Line item fill rate of 90%.
    • Reduced obsolete inventory to 3%.
    • Reduced order lead time to 4 weeks for standard products 8 weeks for non-standard products.
    • Reduced inventory turn time to 15 days.

  • Shake-up boosts cement maker sales

    A major cement producing company asked CornerStone to develop a new methodology to help it increase market share during a downturn.

    CornerStone Approach

    Following an assessment, CornerStone designed and implemented a new Sales Organisation structure defined by four integrated processes in order to achieve the client’s Driver Goals and future growth strategies.

    Actions Taken

    Target account acquisition

    • Developed and implemented an aggressive Target Sales Task Force process to acquire top ranking strategic accounts (a team selling approach to acquiring new business)
    • Developed questionnaires, a knowledge base repository, account qualification tools, meeting agendas, model presentation for prospects and other tools.
    • Created procedures to standardise the process for Sales organisation distribution.
    • Generated enthusiasm among the Sales team.

    Sales effectiveness

    • Developed and implemented an effective sales process focused on growing market share while maintaining the current customer base.
    • Developed a new Professional Selling Skills (PSS) methodology training programme and delivered it to the Sales organisation in the US and Canada.
    • Developed and documented Individual Target Account Selling and Maintain Accounts processes and tools.

    Sales system for managing (SFM)

    • Created a framework to standardise forecasting, budgeting, planning, reporting and managing.
    • Designed and implemented tools for forecasting, planning and account optimisation.
    • Chartered a CRM (Customer Relationship Management) team to fully integrate the SFM process in an interactive system.

    Driver Goals

    • Add 0.9% in North America by the end of 2010 (4% in the Mid Atlantic region), without reducing price relative to the competition.
    • Attain new customers with 200,000 tons of new business.
    • Develop a more efficient and effective structure and processes for the Sales organisation.

    Results

    • Exceeded volume and financial benefit targets by 12% for 2010 and passed 2011 goals four months ahead of schedule.
    • Developed a new Sales structure defined by four integrated processes aligned to the Driver Goals and future business growth strategies.
    • Developed and delivered over 3,500 hours of training and coaching for the US and Canada sales force.
    • Distributed detailed process manuals, tools and files to all Sales force personnel.
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