Case Studies.
Driving Digital Transformation: A Comprehensive Approach
- Industry: Logistics and Transportation
- Challenges: Recognizing the evolving landscape of the logistics industry, the need arose for a comprehensive digital transformation. This entailed the development of a strong digital transformation strategy and effective implementation to drive innovation, improve efficiency, and enhance customer experience.
Nexel Partners Approach:
Digital Transformation Strategy Development:
• Identified the Digital Transformation strategy aligned with the overall organizational strategy, focusing on key areas such as e-commerce and last-mile delivery.
• Developed an implementation roadmap spanning a two-year horizon, outlining budget, dependencies, and resource requirements for successful execution.
• Designed a business application architecture for all subsidiaries and new entities, including the digital platform and e-commerce solutions, to support digital initiatives effectively.
• Defined and led the sourcing strategy for technologies such as SAP, Infor, and new data center infrastructure, ensuring alignment with organizational objectives.
Transformation Implementation & Support:
• Established a Project Management Office (PMO) to oversee and manage digital transformation initiatives for one year, managing a substantial budget, workforce, and multiple projects.
• Successfully managed the global implementation of SAP for 50 sites and 15,000 employees, ensuring seamless integration and adoption across the organization.
• Defined and implemented all IT business process models to streamline operations and enhance efficiency across various functions.
Shared Services:
• Designed, set up, and outsourced a shared service center for accounting, HR, and procurement in India, optimizing back-office operations and driving cost savings.
Outcome:
• Successfully executed 20 digital transformation projects, driving innovation and improving operational efficiency across the organization.
• Achieved a 50% reduction in back-office full-time equivalent (FTE) positions, streamlining operations and optimizing resource utilization.
• Realized a 60% reduction in back-office costs per FTE, resulting in significant cost savings and improved profitability.
• Established robust digital capabilities and streamlined operations, positioning the organization for continued success and growth in the competitive logistics industry.
