Disciplined Approaches To Improve Performance
This business owns numerous subsidiaries and engages in aluminum extrusion. The business was founded in the 1960’s and is dedicated to the pickling, cold rolled, galvanized, painted and processed steel sheet market.
Situation
A family-owned steel manufacturing company with a limited circle of advisors wanted to improve its profitability and competitive position.
Business Challenge
The company owns five facilities and has a load of 18MW. They wanted to pursue strategies to maintain operating margins in a hyper-competitive market. They also wanted to develop a deeper understanding of what supplier options existed and what factors like the volatility of natural gas in the U.S. had on their costs
Opportunity
To help them optimize their performance we drafted a series of strategies to increase the effectiveness.
Solution
Assist them in understanding the value of having an energy expert working on their behalf. Ensure they would have a competitive advantage and budget certainty in their highly competitive industry
Impact
We worked with the leadership team directly to analyze and implement market options to mitigate risk and improve costs and reliability.
Results
Through collaborative efforts we identified hidden fees from past contracts and delivered a five-year contract that included a 37 percent savings over the term. Total savings over a five-year term: U.S. $19 million