One of the 3 major food retailers Chile

SITUATION AND CONTEXT

– Retailer in a highly competitive industry
– Network of stores with different formats throughout the country
– Lack of standardized practices and varying “service cultures”
– Lack of a common and refined model
– High costs compared to the competition

WHAT

  • • Set of key initiatives over 24 months, which included:
    • Redefinition of the value proposition
    • Implementation of a distinctive service culture, along with a program to increase stores productivity (process redesign, incentives, training, etc.)
    • Implementation of an operational excellence program
    • Implementation of a new methodology for negotiating with suppliers
    • Redefinition of the organizational structure

HOW

  • • Conducting a thorough diagnosis of the organization and the business that included, among others:
    • Individual interviews and surveys involving different levels of the organization
    • Field trips to visit stores
    • Shadowing of critical positions to evaluate key processes
  • • Building, with the client, solutions involving different stakeholders and incorporating best practices, such as:
    • Crystallization of the value proposition elaborated with the executive team and consulted with the second line and key stakeholders
    • Working together with the procurement team on the negotiation methodology
  • • Supporting during implementation, adjusting solutions when necessary

IMPACT

– EBITDA margin increased by ~ 2 percentage points in 24 months.