Our transformation team identified opportunities for over £5m in annual benefit through cost reduction, revenue upside, and offshoring efficiencies for a metering service provider.
We deployed a rapid diagnostic approach to identify key areas for improvement, ahead of our client’s transition to Market-wide Half Hourly Settlement (MHHS).
What was our client's challenge?
Our client, a metering service provider, faced an increasing cost-to-serve, with gaps emerging across their operating model, operational efficiencies, offshore capability, and capability to manage change in the project management office (PMO).
BFY Group were engaged for the diagnostic of key challenges in readiness for their transition to MHHS.
How did BFY help?
We implemented a rapid diagnostic approach to determine where maximum opportunity was present.
This involved:
- Conducting interviews with executives and senior leaders to assess the maturity of their target operating model (TOM)
- Hosting process mapping workshops and data mining sessions to identify inefficiencies and opportunities within their operations
- Embedding ourselves within the client’s operations to gain a comprehensive understanding of their processes
- Reviewing core customer journeys using data analytics to uncover pain points and waste
Our diagnostic identified the following areas for improvement:
- Operational inefficiencies and process waste
- Backlogs and opportunities for streamlining one-off activities
- Risks in offshore operations, with recommendations for improvement
- Manual workarounds and system limitations that hindered end-to-end processes
- Gaps in roles, responsibilities, and complexity in their TOM
What results did this deliver?
The diagnostic provided valuable insights, which translated into significant cost-saving and revenue-generating opportunities. Specifically, we identified:
- Operational waste reduction opportunities of £2-£2.7m
- Revenue upside of £2-£2.5m through improved processing
- Offshoring opportunities of £1-£2.5m
Overall, the diagnostic helped our client identify over £5m in annual benefit, with a total opportunity range extending up to £8m across cost reductions, revenue gains, and offshore efficiencies.
