Holistic Business Case, Power App Drive Revenue Growth and Margin Boost

Over the last 50 years, this company has earned its reputation as a leading multi-solutions provider in both industrial and commercial services, with a focus on construction, maintenance and engineering. But it was struggling with significant issues related to production and logistics issues. The company suffered from a limited understanding of plant capacity and capabilities and limited forecasting and scheduling capabilities arising from volatile market demand, manual operational functions and limited formal reporting mechanisms. The challenges not only affected the company's bottom line, but also its ability to meet customer demands effectively.

Protiviti partnered with the client’s Chief Commercial Officer (CCO) to tackle these significant hurdles head on.

Assessing the current state

The engagement began with a thorough analysis of the client’s existing processes. Protiviti's team completed time and motion studies, conducted interviews, collected data and analysed the current processes to identify potential issues causing inefficiencies. A digital twin was created using the data and processes to create a real-time model that identified bottlenecks and opportunities for improvement. The team then proposed a strategic plan to optimise these processes. This plan was not just about quick fixes; it was designed to provide long-term solutions, enabling the client to maintain optimal throughput levels even as its business grew and evolved.

Solution development: Throughput optimisation

The next phase of the project focused on throughput optimisation. Using the digital twin, the team utilised simulation technology to create a series of scenarios testing alternative improvement hypothesis to understand the potential process improvement impact and identify potential upstream/downstream impacts.

The analysis included modeling the client facilities’ current state by developing a manufacturing simulation tool that:

• Consolidated product offerings and grouping them into 10-20 categories that represented the client’s current state product mix
• Established activity and financial baseline standards for each category through data analysis including time studies, financial reporting, product specifications and more
• Validated accuracy through historical performance.

This in-depth evaluation helped identify bottlenecks and inefficiencies across the production lines and supply chain networks. The most promising scenarios were then chosen for business case development to understand the financial impact, costs and key risks.

Leveraging these insights from the simulation model, we then worked with the client to develop a roadmap of recommendations and a detailed business case for implementing improvements including a series of targeted interventions:

• Process reengineering: Streamlining operations to eliminate unnecessary steps and reduce cycle times.
• Technology integration: Deploying automated systems for real-time tracking and management of inventory.
• Performance metrics: Establishing key performance indicators (KPIs) to continuously monitor throughput rates and ensure operational goals are met.

During implementation, Protiviti worked closely with the client to ensure minimal disruption to ongoing operations. Changes were rolled out incrementally, and each step was carefully monitored to assess its impact and make any necessary adjustments, ensuring the optimised processes delivered the expected improvements in throughput. These strategic enhancements led to a 3X increase in throughput capacity, reducing operational costs and improving production capacity without compromising quality. 

Development of a logistics Power App

With throughput processes optimised, the focus shifted to enhancing logistical operations through technological innovation. Protiviti proposed the development of a custom logistics low-code solution using MS Power Apps, designed to integrate seamlessly with the client’s existing IT infrastructure.

The low-code solution created digitised and automated shop floor operations, eliminating process inefficiencies and improving capacity utilisationn. This tool provided real-time visibility to production personnel of product and material status and movement, allowing them to quickly access information in order to dynamically make decisions that could keep production operating efficiently.

The logistics Power App features included:

• Real-time tracking: Enabling the client to monitor the movement of goods in real-time, improving the accuracy of delivery timelines.
• Inventory management: Automated tools for inventory control, reducing overstock and understock situations.
• Data analytics: Advanced analytics capabilities to forecast demand and adjust operations accordingly.
• User-friendly interface: An intuitive interface designed for ease of use by the client’s staff, ensuring high adoption rates.

This app not only streamlined the client’s logistical operations but also provided a scalable platform that could adapt to changing business needs and market dynamics.

Productivity, estimated revenue and operating margin improvements

The results of our partnership with this client are impressive. With real-time visibility into performance in place, the client’s leadership team now better manages day-to-day operations, driven by more informed decision-making. Improved traceability of materials and products enabled teams to optimise throughput and manage capacity. The automation of manual tasks contributed to a 20 percent improvement in productivity as more timely product invoicing drove an improved cash flow. Working with a Protiviti-developed, prioritised list of 13 initiatives, the client is estimated to realise an increase of over 100 percent in both revenue and operating margin, while our labor allocation plan will provide the client with an estimated 20 percent reduction in labor costs.

Our holistic business case clearly outlined the upfront investments and returns the client could expect to realise and our implementation roadmap helped deliver quick wins while supporting long-term goals.