2. Reduce Cost Base

Logistics co Turnover £300m

Loss maker

Need: reduce cost base by £35m

Outcome: Costs identified; £35m profit improvement; company now thriving

  • Infrastructure: Analysed sites, leading to planned reduction of locations through mothballing and contractual conclusion
  • Transportation: Re-planned routes to reduce mileage, introduced driver disciplines for fuel and maintenance economy; reorganised  fleet mix based on loading capacities
  • People: Reviewed management structure and de-layered to flatter organisation; consolidated headcount on reduction of infrastructure; increased security processes; decreased operational costs