ScottMadden - Management Consultants
News & Research: Client Successes

Case Study: Fleet Management Solution to Improve Business Results

ScottMadden worked with one of the largest electricity generators to implement fleet management solutions and create a "franchise manual" template for facilitating the growth of profitable operations.

Challenge
  • The company possessed a large fleet of generating plants, but operated them inconsistently
  • Plants posted a wide range of business results; in some areas, results were deteriorating unacceptably
  • Best practices could not be identified due to deficiencies in information infrastructure
  • Improvements were impeded by conflicting goals and business processes
  • Cultural barriers blocked many valuable forms of collaboration
  • Competition was increasing in the wholesale market and from independent generators
Solution
  • Implemented fleet management solutions to address infrastructure, processes, goals and systems
  • Identified the organizational structure and operating practices required to improve business results
  • Engaged hundreds of employees from all levels and boundaries to define standards, guidelines and requirements
  • Documented their decisions in a "franchise manual," similar to what McDonalds and NationsBank use to run their operations well and grow rapidly
  • Implemented the franchise manual across the generating fleet
Results
  • Annual cost savings range from $25 to $50 million
  • Fleet management solution as planned
  • Cultural barriers substantially lessened
  • Client termed the project very successful, in marked contrast to previous large-scale change efforts
  • Fleet management solution designed to facilitate growth; client is expanding
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