Case Studies
Strategy, Finance & Organization
Restructuring and turnaround of a mobile device original equipment manufacturer
A mobile device OEM needed to find rapid cost reductions to enable profitable growth. Applied Value developed a two-year plan grounded in Lean Growth to improve the company’s focus, resulting in a reduction of 3.5BUSD in operational expenses (-60%).
Situation
A global mobile device OEM faced an urgent need to improve the company’s profitability. The business needed to find rapid cost reduction opportunities to restructure, re-build, simplify and trim unaffordable operation expenses (OPEX) levels to enable profitable growth.
Approach
Applied Value performed a strategic review of the company’s Go-to-Market strategy, customers, geographies, portfolio, R&D, manufacturing strategy, IT, and footprint. The strategic review laid the foundation for a two year Lean Growth plan to become a more focused, smaller, and more profitable organization. Applied Value supported the client to immediately implement the plan including helping them to set up cost measures and establishing a plan to reach target OPEX in three quarters.
Results
Applied Value reduced operating expenses by 3.5 BUSD (-60%) over three quarters by reducing headcount, consolidating geographic footprint, and implementing efficiency improvements across the whole organization.
