{ "docId": "019dd923-5ca1-7489-b634-df215e4f0bc1", "docSlug": "b89c4b2a8f5b0c45", "documentTitle": "Transformation Ebook", "authorId": "BCG", "authorName": "BCG", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "landscape", "aspectRatio": 2.5, "pageNumber": 28, "pageCount": 167, "prevPage": 27, "nextPage": 29, "slideType": "case_study", "function": "illustrate_case", "density": "dense", "nDataPoints": 3, "notes": "The slide is a narrative case study presented in two columns.", "elementsJson": [ "headline_text", "paragraph" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-5ca1-7489-b634-df215e4f0bc1/28", "deckHref": "/decks/019dd923-5ca1-7489-b634-df215e4f0bc1", "deckJsonHref": "/decks/019dd923-5ca1-7489-b634-df215e4f0bc1.json", "deckAnchorHref": "/decks/019dd923-5ca1-7489-b634-df215e4f0bc1#slide-28", "components": [ { "bbox": null, "kind": "callout", "text": "By getting both rates and hours in line, the company saved more than 10% on its agency spending—and those savings were immediately reinvested to enable the launch of what became a highly successful brand.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd951-acbb-7389-93ba-403ae08424e7", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "metric", "text": "EBIT: 10%", "attrs": null, "subkind": "primary", "toolName": "Quantification", "toolSlug": "quantification", "confidence": null, "componentId": "019dd951-acbb-7389-93ba-44d578a9b6f9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.72, "w": 0.72, "x": 0.14, "y": 0.19 }, "kind": "paragraph", "text": "A leading CPG player was struggling to respond to challenging market dynamics, particularly in the value-based segments and at the price points where it was strongest. The near- and medium-term forecasts looked even worse: sales volume and potentially even revenue seemed likely to contract. A comprehensive transformation effort was needed. To fund that transformation journey, the company looked at several cost reduction initiatives, including logistics. Previously, the company had worked with a large number of logistics providers, causing it to miss out on scale efficiencies. To improve, it bundled all transportation spending, across the network (both inbound to production facilities and outbound to its various distribution channels), and opened its logistics to bidding through a request-for-proposal process. The company was able to save 10% on logistics in the first 12 months—a very fast gain for what is essentially a commodity service. Similarly, the company addressed its marketing-agency spending. A benchmark analysis revealed that the company had been paying rates well above the market average and getting fewer hours per full-time equivalent each year than the market standard. By getting both rates and hours in line, the company saved more than 10% on its agency spending—and those savings were immediately reinvested to enable the launch of what became a highly successful brand. Next, the company pivoted to growth mode to achieve additional wins in the medium term. The measure with the biggest impact was pricing. The company operates in a category that is highly segmented across product lines and highly localized. Products that sell well in one region often do poorly in adjacent markets. Accordingly, it sought to de-average its pricing approach across locations, brands, and pack sizes, driving a 2% increase in EBIT. The company also analyzed trade promotion effectiveness by gathering and compiling data on the roughly 150,000 promotions that it had run across channels, locations, brands, and pack sizes.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "047ebb1b-8642-4177-8d7f-469e3f394735", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.07, "w": 0.72, "x": 0.14, "y": 0.11 }, "kind": "title", "text": "A CONSUMER-PACKAGED-GOODS COMPANY USES SEVERAL LEVERS TO FUND ITS TRANSFORMATION JOURNEY", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2d69341b-f598-4d81-94b0-8ae80eada93b", "frameworkName": null, "frameworkSlug": null } ], "metrics": [ { "metricRaw": "EBIT", "numberRaw": "10%", "numberKind": "percent", "actionTitle": "A CONSUMER-PACKAGED-GOODS COMPANY USES SEVERAL LEVERS TO FUND ITS TRANSFORMATION JOURNEY", "calloutText": "By getting both rates and hours in line, the company saved more than 10% on its agency spending—and those savings were immediately reinvested to enable the launch of what became a highly successful brand.", "numberScale": null, "numberValue": 10, "metricFamily": "margin_return", "numberCurrency": null } ], "tools": [ { "name": "Concrete Language", "slug": "concrete-language", "agent": "Storyteller", "layer": "slide", "matchId": "019dd95a-1575-7358-9707-6226152a6b26", "evidence": "Quotes 10% agency-spend savings reinvested into a brand launch.", "confidence": 80 }, { "name": "Story Moments", "slug": "story-moments", "agent": "Storyteller", "layer": "slide", "matchId": "019dd95a-1575-7358-9707-5e983e5035f5", "evidence": "Named CPG case study illustrating funding levers.", "confidence": 75 } ], "frameworks": [], "arcBeats": [ { "to": 67, "from": 23, "beatId": "019dd95a-0702-74a3-87e2-a351b5a5af36", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Solution & Approach", "beatSlug": "consultants-gambit-solution-approach", "evidence": "Part I introduces holistic 3-pillar framework chapter by chapter.", "position": 3, "confidence": 85, "parentBeatName": "Turn", "parentBeatSlug": "turn" }, { "to": 67, "from": 9, "beatId": "019dd95a-0702-74a3-87e2-ad6495641025", "arcName": "The Triple Take", "arcSlug": "triple-take", "beatName": "The Facts (What)", "beatSlug": "triple-take-the-facts-what", "evidence": "Context and 3-pillar framework definition.", "position": 1, "confidence": 65, "parentBeatName": "Setup", "parentBeatSlug": "setup" } ], "loops": [ { "to": 33, "from": 25, "name": "Quick Win Big Bet", "slug": "47-quick-win-big-bet", "bestFor": "Transformation planning, 100-day plans, resource allocation", "matchId": "019dd95a-088c-724c-b30e-c4686f0d35fc", "evidence": "Four levers + cases delivering 10-25% cost cuts and bps EBIT improvement in months.", "position": 4, "objective": "Sequence quick fund-the-journey wins to fuel transformation", "structure": "The Full List -> Quick Wins (Low effort, High impact) -> Big Bets (High effort, High impact) -> Sequenced Roadmap", "confidence": 80, "description": "Separate initiatives into immediate wins and longer-term strategic bets" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }