Optimising processes and organisation Developing corporate culture
- Sector:electrical engineering and automation
- Company type:family business, 2nd generation
- Size:approx. 50 employees
- Location:Germany
- Responsibilities:corporate culture, organisational optimisation, process optimisation
- Concept phase:Change management
Initial situation
The turnaround was achieved at the end of the first mandate and the company was successfully guided out of the critical phase. The time had come to look ahead and develop a detailed strategy for the various business areas. In addition, internal working relationships were increasingly marked by conflict. The working environment was tense. The hitherto very hierarchically managed teams developed little initiative for upcoming tasks and the young business owners began to set up their own management style rather than following the leadership style of their father.
Implementation
The analysis and strategy development per business unit was at the very beginning of the optimisation phase. Existing competencies and strengths in the company were to be used specifically for further positive business development. This was done bottom-up for all 3 BUs and was then combined into an overall strategy for the company. The implementation of the developed strategy took place immediately afterwards.
This was supported by a newly established management team in a business unit, which promoted the active implementation of the business alignment. In addition, this young team exemplified a new, autonomous management and thus made an important contribution to corporate development beyond the business unit.
An improvement of the planning processes and increased customer orientation introduced in another business unit stabilised the internal trust of the team and improved customer loyalty.
A complete analysis of the existing organisation highlighted deficiencies at two critical junctures. Consolidating commercial and engineering competence in a central position provided a good solution. Other heretofore lacking skill sets were strengthened by recruiting additional personnel.
The appointment of a qualified employee to the quality management and occupational safety function strengthened the lived quality standards.
An employee-oriented corporate philosophy for integrating and retaining employees helped increase the company’s overall attractiveness. The development of technical competence in manufacturing was shored up for the long term by implementing integrated manufacturing. The recruitment of an appropriately qualified employee was an important first step. Innovative ways for the targeted further training of production employees created new possibilities.
The extended use of the ERP system within a BU was successfully completed as a test run. All functions from sales, purchasing, warehouse management and production to shipping were documented and controlled in the ERP. Subsequently, the use of ERP was gradually rolled out in the other business units.
Project scope
- Strategy development for the entire company and each business unit
- Reorganising the largest business units, electrical engineering and production
- Establishing and promoting an autonomous management culture
- Establishing technical competence in engineering
- Development of service division to strengthen product sales
- Continuity in quality management certification according to ISO 9001
- Introduction of occupational safety
Results
More room for a new management culture in the 2nd generation. Step-by-step development of an autonomous management culture with increased personal responsibility of the managers. Process-oriented working methods resulted in increased clarity for the business owners and thus better controlling. The cross-functional approach helped foster a sense of togetherness and improve the working atmosphere.