Work Arts LLCAfter selling one of its four business units, a multi-billion dollar automotive supplier was left with an oversized, centralized corporate management structure and stranded SG&A. Its three remaining business units needed their own functional resources so they could own their performance and operate with speed closer to their customers.
I ran an organization diagnostic that included interviews with the full executive team, a review of performance trends from the prior two years, current-state org charts, and operations review decks. From there I worked through several rounds of design options with the CEO and CHRO before moving into detailed design of a business unit structure. I then worked directly with each BU's GM and functional leaders to finalize their designs, and with their HR Directors to build change activation plans specific to each region.
The initial design took six weeks. In the Americas and Asia, we activated and implemented the new structure in under 30 days once decisions were finalized. Europe moved on a slower timeline because of statutory notice periods, works council consultation requirements, and differences in employment law, so we adjusted the activation plan there to stay fully compliant while still respecting those processes.
The redesign improved SG&A by 2% of revenue and gave each business unit the functional ownership to build its own growth strategy, setting up the three BUs to move on organic expansion and acquisition opportunities on their own.
