Supporting pan European acquisitions and mergers

Our client, an international media giant, engaged us to identify and support the delivery of cost reductions following a large scale merger. With two distinct strands to the engagement – one reviewing retail outlets and the second providing in-depth category support – the team faced a complex and multi-national stakeholder base and a range of operating models to consider.

Rosette


Improved European brand consistency

The brief

Following the merger, the organisation had over 1,000 retail stores across five countries and a number of operating models for managing non-creative production spend. Capita needed to conduct a complete audit of the existing models in the procurement approach to identify opportunities for standardisation and savings.


Retail

Action taken

We conducted a structured review of each country’s operating model, including current supply base, contractual constraints, retail design differences and the differing approach to procurement from local teams. We used this structure to identify and interview key stakeholders and gather and analyse cost / brief data from incumbent agencies.


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40%
savings made

The result

We identified and unlocked savings in both strands of our work. We worked with stakeholders to consolidate the suppliers involved in the retail outlets and secured the agreement to off-shore the build process, resulting in a 40% cost reduction and improved production capacity.

We created further savings through the introduction of lean principles and improved the consistency, output quality and turnaround times linked to marketing activity.




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