Operations strategy

Helping clients realize outstanding operational processes.

Digital technologies and the aspiration for more flexible supply chains in Industry 4.0 present growth-oriented companies with complex challenges. Operational processes play a key role in this and are a critical success factor in achieving strategic competitive advantage.

As part of the global PwC Operations Team, we help our clients in closing the gap between strategy and realization. Our experts have the necessary industrial, functional and technological know-how to support our clients in achieving operational excellence across the full value-added chain. Whether the challenge is boosting growth, strategic cost reductions, improved operational flexibility or higher capital efficiency – we provide support in building up the necessary operations-side solutions for sustainable, long-term growth.

How we help clients

COO Agenda

As Operations strategists deeply embedded in all major industries, we have a clear perspective on the operations strategy priorities per industry sector. This COO agenda by industry provides an overview on the most pressing challenges that we currently help operations decision-makers to solve. 

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Operations resilience

Rising cost pressures. Protectionism. Disruptions. Sustainability considerations. All of these factors were affecting supply chains even before the global pandemic. But now, as the world changes at an unprecedented speed and on an unforeseen scale, more business leaders than ever are realizing the need to reimagine the way they’re operating.

Click here to find out how to manage daily risks and adapt to unforeseen disruptions

Innovation and development

We support our clients in defining and implementing their strategic innovation roadmaps for products, services and overarching business models as well as in increasing efficiency along the whole development process. Our services include:

  • Innovation and development strategy
  • R&D operating model and footprint
  • Product portfolio transformation
  • R&D efficiency and benchmarking
  • Strategic partnerships and alliances
  • Product value management and design-to-cost
  • Product lifecycle management

Procurement and sourcing

We support our clients in their strategic procurement transformation, including the strategic alignment and development of their capabilities. It is our goal to position procurement as the enabler for sustainable value creation. Our services include:

  • Procurement transformation incl. operating model design, cost reduction and capability development
  • Procurement strategy
  • M&A value creation
  • Sustainability in procurement
  • Project/CAPEX procurement
  • Category management and strategy
  • End-to-end supplier and value chain management
  • Agile working methods in procurement

Supply Chain Management

We support our clients in developing end-to-end supply chains that are tailored to their market needs, leveraging the latest digital technologies to achieve a competitive advantage in terms of service level, cost efficiency and flexibility. Our services include:

  • End-to-end dynamic supply chain strategy
  • Supply chain operating model design
  • Digital supply chain design and analytics
  • Sustainable supply chain management
  • Integrated planning and execution
  • Supply chain network redesign incl. logistics, transportation, distribution, reverse (post-sales) logistics
  • Inventory and working capital optimization

Manufacturing

We support our clients in defining their production strategy in line with their overarching corporate strategy while focusing on their core competencies and capabilities in order to achieve a competitive market advantage. We also support them in developing and implementing strategic programs in order to achieve company-wide operational excellence. Our services include:

  • Manufacturing strategy and footprint
  • Sustainable manufacturing
  • Site turnaround, taskforces and profitability improvement
  • Production systems and assessments
  • Lean transformation, incl. digital lean and lean administration
  • Smart manufacturing and processes
  • Intelligent maintenance systems

COO agenda

We see six high priority topics for automotive COOs

Product disruption
Product disruption
The growing demand for smart and electric vehicles significantly impacts the automotive value chain.
Emergency operations
Emergency operations
The automotive industry is facing an unprecedented transformation.
Cost excellence
Cost excellence
Operations excellence remains a constant imperative for success in the automotive industry.
Operational resilience
Operational resilience
Supply chain disruptions pose immanent risks of abruptly constraining the standard operations.
Sustainability championship
Sustainability championship
Today’s businesses must serve all stakeholders - customers, employees, society, and investors.
Workforce management
Workforce management
Automotive players are facing high pressure to cut costs, to increase speed of innovation, and to ensure adaptability.

For more information, contact our experts Christian FoltzAxel Borowski, Jörg AssmannBoris Kainz and Henning Rennert

Product disruption

The growing demand for smart and electric vehicles significantly impacts the automotive value chain: Rapid innovation is required to offer competitive products. This includes early make-or-buy decisions to secure strategic leadership in the future market and maximize operational synergies. Product development cycles need to be adapted to successfully integrate new processes such as battery system assembly or integrated software development. With a deep understanding of technology and operations, the automotive operations team at Strategy& is able to support their clients on these complex challenges in product development and production.

Emergency operations

The automotive industry is facing an unprecedented transformation. Due to changing customer demands, new products are launched at unparalleled speed. Ramp-up of “Gigafactories” and the industrialization of proprietary battery or software technologies are becoming necessary for OEMs to win through in the future. Many suppliers are having trouble in mastering the complex new technologies, putting the supply chain at immanent risk. Ad-hoc damage limitation and problem solving are becoming ever more important for automotive players to survive. Strategy& successfully supports clients in these situations with their proven Extended Enterprise Enablement approach.

Cost excellence

Operations excellence remains a constant imperative for success in the automotive industry. OEMs and suppliers not only need to be operationally efficient; they need to further optimize their cost base and ensure healthy cash-flows to successfully navigate the transformation. It is of utmost importance to cut costs through a capability-driven lens: “Bad costs” (no differentiation from competition) need to be cut aggressively, while “good costs” (differentiating capabilities) need to be protected or even invested in. Strategy& supports clients with proven approaches and tools on all relevant steps along this transformational journey.

Operational resilience

Economic shocks, supply chain disruptions and further economic or geopolitical disputes nowadays pose immanent risks of abruptly constraining the standard operations of automotive companies. Bankruptcy and economic fatigue become an inherent risk, especially for upstream players in the automotive value chain. Operational losses at OEMs due to multiple parts shortages are reflected in massive fallout in production volumes, causing economic distress for the suppliers. Through advanced planning and partnering methods, Strategy& ensures long-term supply of critical materials and high finished goods availability, thus creating true resilience.

Sustainability championship

Today’s businesses must serve all stakeholders - customers, employees, society, and investors. Strategy& believes in the power of business to be a force for good. Their teams engage deeply with clients to analyze their core business models and operations, to create positive economic, social, and environmental impact in ways that are profitable for the long term. Within the operations strategy team, Strategy& offers unique expertise from strategy through to execution, leveraging the regulatory expertise of the PwC network – supporting offerings such as CO2 footprint strategy and operational sustainability facilitation for automotive players.

Workforce management

Automotive players are facing high pressure to cut costs, to increase speed of innovation, and to ensure adaptability. They need to find ways to implement revolutionary thinking in their existing organizations. This requires the organizational capabilities to cope with constant change and disruption. Operational agility and people behavior need to be supported by sound workforce management. Strategy& supports as mediator and enabler, providing a comprehensive outside-in perspective as well as a trusted environment for experimenting, for hands-on support building and for connecting the capabilities required for future-proof workforce management.

Management Engineers

Management Engineers has been a part of Strategy& (formerly Booz & Company) since 2013. Within Strategy&, Management Engineers maintains its identity as an internal network of experts with specialist know-how in all functions and sectors of the manufacturing trades, such as Automotive and Mechanical Engineering, as well as a deep expertise in operations issues.

Contact us

Jörg Assmann

Partner, Strategy& Germany

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Axel Borowski

Partner, Strategy& Germany

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Dr. Christian Foltz

Partner, Strategy& Germany

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Dr. Nils Förster

Partner, Strategy& Germany

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Bernd Jung

Partner, Strategy& Germany

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Boris Kainz

Partner, Strategy& Germany

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Dr. Hans-Jörg Kutschera

Partner, Strategy& Germany

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Dr. Jens Neumann

Partner, Strategy& Germany

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Henning Rennert

Partner, Strategy& Germany

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Reinhard Vocke

Partner, Strategy& Germany

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Dr. Jan H. Wille

Partner, Strategy& Germany

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