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Case study
High-tech energy firm
Revitalizing a global ERP transformation: our rescue of a complex S/4 HANA-driven carve-out
How we helped
When a building services and electrical contractor needed to improve its win/loss performance, we zoomed in on the company’s commercial pipeline and cost structure.
A $1 billion building services and electrical contractor, with a nationwide footprint, approached AlixPartners to support commercial and cost effectiveness improvement. The company had four business units and offices in ten major metropolitan areas, with over 4,000 union employees. As they say in construction, every large project is the first of its kind, with new problems to be solved. For the contractor, increasing productivity and profitability across the company was a project of its own.
AlixPartners came in to perform a detailed review of MSA agreements, as well as the company’s sales pipeline and backlog. That work allowed us to understand the industry and service segment mix and to calculate the associated revenue risk. We then went to work developing new approaches to improve commercial effectiveness while identifying productivity improvements within the organization. At the end of the QuickStrike, we identified opportunities for a potential EBITDA increase of 15% to 20%, outlining concrete implementation plans.
Company leadership then asked AlixPartners to look at how to measure and improve engineering and design labor utilization, task sequencing, and tool delivery to increase labor productivity. We applied standard costs to job estimates and charged customers for SG&A support, improving the company’s margin discipline through a better win/loss performance.
