Achieving a 9 Million RMB Procurement Savings in One Month

Client: A leading window manufacturer in China specializing in aluminum, PVC, and steel windows, primarily sold in the U.S. market.

Challenge: The client’s procurement process was product-focused, lacking a cost-saving mindset across the team. This led to high procurement costs and a limited supplier base.

Solution: Identified an immediate cost-saving opportunity of 9 million RMB within the company’s 200 million RMB procurement spend. Additionally, transferred cost-saving expertise to the team, fostering a cost-conscious culture without compromising product quality.

Optimizing the Cost Structure of a Leading Event Organizer

Situation: A global leader in event organization faced declining EBITDA and EBITDA margins since the onset of COVID-19. Its shareholder, a prominent private equity firm seeking an exit, aimed to improve the company’s EBITDA to maximize value.

Challenges: The client was unsure how to reduce costs effectively without disrupting business-as-usual (BAU) operations or hindering the company’s growth potential.

Solution: Conducted scenario modeling to assess potential impacts, refined the target operating model, and developed a detailed execution plan. The analysis also estimated the costs associated with an exit, including customer refunds, severance packages, and professional fees. These efforts resulted in an 8% improvement in EBITDA margin without compromising BAU operations or future growth potential.