Business Case Study: Streamlining Shared Services in a Multi-Brand Retailer to Promote Cross-Brand Collaboration and Cost Savings
In this case study, we will examine how a multi-brand retailer streamlined their shared services to promote cross-brand collaboration, cost savings, and employee career advancement opportunities. The retailer operated multiple brands, each with their own supply chain, operations, and support functions.
The multi-brand retailer faced several challenges, including duplicate processes, systems, and teams across brands, leading to inefficiencies and increased costs. The lack of collaboration between brands also hindered the company's ability to leverage bulk raw material discounts and promote cross-brand career advancement opportunities for employees.
The new leadership recognized the need for a complete transformation of the shared services model and set out to create a new vision and culture for the company. They began by identifying areas for improvement, including streamlining processes, consolidating systems, and promoting cross-brand collaboration.
To achieve this vision, they focused on implementing a shared services model that promoted cross-brand collaboration, cost savings, and employee career advancement opportunities. The new shared services model created a central support function for finance, procurement, HR, and IT services, which all brands could utilize.
The central support function utilized a common technology platform, enabling efficient sharing of information and processes between brands. The new model also enabled the company to negotiate bulk raw material discounts, leading to cost savings across brands.
The new leadership also created cross-brand career advancement opportunities by promoting employee rotations and cross-functional training. This led to a reduction in the learning curve for new employees and facilitated knowledge-sharing between brands.
The implementation of the shared services model led to significant improvements in the company's operations, culture, and financial performance. The centralization of support functions led to cost savings across brands, as well as improved efficiency, standardization, and quality of support services.
The consolidation of systems and processes enabled the company to better leverage bulk raw material discounts, leading to cost savings on raw materials. The promotion of cross-brand career advancement opportunities led to improved employee engagement, retention, and knowledge-sharing between brands.
Overall, the new shared services model promoted collaboration, efficiency, and cost savings, while also improving employee career advancement opportunities and job satisfaction.
The multi-brand retailer was able to achieve a 30% reduction in shared services costs after implementing the new shared services model.
The consolidation of systems and processes enabled the company to negotiate bulk raw material discounts, resulting in a 20% cost savings on raw materials across brands.
Employee retention rates increased by 15% after the promotion of cross-brand career advancement opportunities.
The new shared services model led to a 25% increase in employee engagement scores.
The transformation of the multi-brand retailer through the implementation of a shared services model is a powerful example of how effective transformation can improve a company's operations, culture, and financial performance. The new leadership's vision, commitment, and focus on collaboration, cost savings, and employee career advancement opportunities created a culture of innovation, engagement, and shared values that drove the company's success.
Today, the multi-brand retailer is a modern, innovative organization that continues to invest in its people, operations, and technology, and remains committed to delivering high-quality products and services to its customers while promoting cross-brand collaboration and employee career advancement opportunities.
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