Outdated organizational structure
Following a full strategic review, the CEO and HR leader of this long-standing global service provider had disposed of non-strategic business units and initiated a review of the remaining core business and staff support functions. Given a renewed concentration on retail markets and a new set of growth aspirations, they knew the current structure needed modification.
Centralizing support functions
We were engaged to support the leadership team in exploring alternative structures to enable greater centralization in key support functions and enable new growth in emerging markets outside its traditional geography and electronic channels. LH&P consultants worked with a small client team to baseline the existing structure and then conducted modeling sessions with the leaders of each function to capture the management, financial and headcount implications in a consistent way. These efforts were then consolidated for the CEO and leadership team to review as a whole. We also provided expertise based on our experiences with geographically-dispersed organizations, and supported related recommendations to the Board and investors as part of an overall stakeholder management plan.
New structure quickly modified and implemented
Mid-way through the effort, it emerged that investors and management needed to agree a modified solution. Alongside management, we revised the consolidated proposal with great speed to allow reliable comparisons with the baseline and original proposal. An acceptable solution was reached, an implementation plan drawn up, and the new structure was introduced over the course of several months. Since then, the company has continued successfully along its expansion path with notable success in areas most central to the restructuring.