Case study
The client's supply-push production model meant that vehicles were selling at a discount relative to competitors who used demand-pull models. But because this approach was integrated into every aspect of the business, the client needed to transform operations. Bain helped develop and implement production solutions that crossed functional and value chain borders. As a result, the company's performance improved substantially.
To manage costs and deliver quality, CarCo* needed to fundamentally rethink its operations model.
While conducting a major strategy review for CarCo, a large automobile manufacturer, Bain uncovered a major operational issue: the company needed to fundamentally change its production model.
A tactical approach to operations improvement could have delivered short-term benefits. Instead, Bain supported the client in developing and implementing a completely new operations strategy. To optimize its business, CarCo needed long-term, integrated solutions that crossed functional and value chain borders.
After quantifying the many benefits of a true demand-pull system, Bain created a new value chain to focus multiple pieces of work into an overall corporate strategy.
By working at multiple CarCo locations in Europe and North America, Bain was able to develop a new operations strategy and implementation plan.
As a result of Bain's work to transform the company's operations, CarCo was able to improve its performance substantially.
* We take our clients' confidentiality seriously. While we've changed their names, the results are real.