战略研究准备

BBBaaaoooSSSttteeeeeelllGGGrrrooouuuppp.ACaseStudyofKPMGConsulting’sEnterpriseValueCreationFrameworkCCCooonnnttteeennntttsss.vip.aliqq.com.cn海量免费资料尽在此ExecutiveSummary……………………………………3Introduction…………………………………………4MethodologyandAnalysis…..……………………5Findings..……..………………………………….…7Results…..…………………………………….……10ExecutiveSummaryYichang,asubsidiaryofthe$8billionChinesesteelbehemothBaoSteelGroup,cametoKPMGConsultingtounderstandthechangesrequiredtobegloballycompetitive,nowthatChinahasbeenadmittedintotheWorldTradeOrganization(WTO).TheclientselectedKPMGConsulting’sEnterpriseValueCreationframeworkthathasbeenknowntocreatevalueforcompanies,andhasearnedfavorableacclaimfromexternalanalystsatGoldmanSachs,AberdeenGroupandAMR,amongothers.ThroughtheEnterpriseValueCreation(EVC)framework,theteamwasabletounderstandYichang’sprimaryproblems,andtodevelopsolutionstoaddresstheseissues.Fromthebeginning,ahighlevelofexecutiveparticipationhelpedtheteamtohoneinontheprocessareasoffocus.Theyincluded:1.NewProductDevelopment2.Marketing,MarketAnalysis,ProductPricing3.Sales,CustomerService,ChannelManagement,CustomerSolutionDevelopment4.FinancialandManagerialAccounting,CostControls5.PerformanceManagementTheteamreliedoninterviews,managementreports,quantitativeanalysis,benchmarking,competitiveintelligenceandbestpracticeinformationtoascertainanddocumentthecurrentstateofYichang’sprocessesandoperationalefficiency.AScorecardandValueImpactAnalysiswereusedtocreatemediumandlong-termtargetmetrics.Aftertwoclientoffsitemeetingstogatherfeedbackandtodevelopconsensuswithinthemanagementteam,aroadmapwasdevelopedthatprioritizedandlaidoutfutureinitiatives.Thescorecardmetricsweredirectlylinkedtothefulfillmentoftheroadmapprojectssoongoingmeasurementcouldbeappliedtogaugeprogress.TheimpactofprocesschangeswerealsolinkedtoBaoSteel’sfinancialstatements.IntenweeksKPMGConsulting’sworkpositionedtheclientto:AchieveconsensusonthecurrentstateissuesDistinguishtheareasofgreatestopportunityAgreeonremediestocurrentproblemsMobilizeeffortstobecomemoreefficientandcompetitiveSystematicallymeasureandachievethedesiredresultsKPMGConsulting’sprimarysponsor,theCFO,believestheEVCprojectwaspivotalinthecompany’sabilitytobesuccessfulastheimplicationsofChina’sacceptanceintotheWorldTradeOrganizationarerealized.IntroductionChina’seconomyhasbeenexpandingatanannualrateofsevenpercentoverthepastthreeyears.TheGDPgrowthofShanghaihasapproachedtenpercentduringthatsameperiod.ThishasbeenfueledbyChina’sentryintotheWorldTradeOrganization,aswellastheincreasedglobalizationoftradeandthedevelopmentofaneducated,tech-savvyworkforce.WhileChina’ssteelmarkethasbecometheworld’slargest,withannualdemandestimatedtogrowby50milliontonstomorethan182milliontonsby2005,industryexpansionplansfallfarshortofthesenumbers.Only27millionadditionaltonsofcapacityareforecasttobebuilt,forcingtheexistingplantstoeitherbecomemoreefficientquickly,ortoleavealotofdemandonthetable.DemandforsteelintheUS,EuropeandJapanhasbeensluggishwhileChinahasseengrowthofover400%since1980.Consumingover130milliontomsin2000,Chinaisnowthebiggeststeelmarketintheworld.Chinaconsumedmorethan130milliontons1ofsteelin2000,surpassingtheUnitedStatestobecomethebiggeststeelmarketintheworld.Threepercentofthenation’s$1Trilliongrossdomesticproductcomesfromsteelandoverthreemillionpeopleareemployedintheindustry.JonathanWoetzel,adirectorinMcKinsey&Co’sShanghaiofficebelievesthatthe“country’ssteelproducersareinpoorshapetotakeadvantageoftheirhomeland’sboom.Fragmented,uncompetitive,unprofitable,heavilyindebt,andgearedtothewrongproducts,theyarelosingouttoimports.”BaoSteelYichang,likemostofChina’ssteelindustry,hasfocusedprimarilyonproducingsteelratherthanonsatisfyingcustomers.ThecompanytriestokeepthemillrunningatoptimalcapacitytomaximizetheirReturnOnAssetsinsteadoffocusingonincreasingprofitandcustomersatisfaction.Manyoperationalimprovementsandmind-setchanges,suchasmanagingprocessesinsteadofmanagingsiloedfunctions,arerequiredforrealefficiencygainstobefelt.Yichang,asubsidiaryofthe$8billionsteelbehemothBaoSteelGroup,cametoKPMGConsultingtounderstandthemanychangesitwouldhavetomaketocompeteintheglobalmarketeffectively.Theclientwantedanactionableroadmaptheycouldembedintheirimmediateoperatingplans.Theyviewedtheroadmapastheinitiatingstepofanevolutionaryprocesstosustaintheirprofitabilityastheyentertheglobalsteelmarket.ManymanagementpracticesthatareestablishedinfastermovingindustriesandinmoreaggressivemarketshadnotyetbeenintroducedintoBaoSteel,giventheprotectedmarketsandsignificantgovernmentinvolvementinChina’ssteelindustry.TheChiefFinancialOfficerconsidersKPMGConsultingastrategicpartnerineducatingtheteaminprovenbusinesspractices.MethodologyandAnalysisSpecifically,BaoSteelYichangsoughtto:1.Diagnoseinefficienciesinitsoperationalandinfrastructureprocesses2.Identifyimprovementopportunities3.Developspecificrecommendationsandsolutionsforfutureexecution4.Addmetricsandquantitativemeasurementaroundit’skeyprocessareas5.InstillmorerigorousperformancemanagementpracticestoaidinaccomplishinggoalsTheclientselec