Growth strategy to increase revenue by 60% in 4 years and renew market positioning
Challenge
A leading mid-sized provider of bespoke intelligent electrical solutions for selected industries was negatively impacted by the COVID-19 pandemic and a challenging ERP implementation. A new strategic direction was required—not only to overcome these past challenges, but also to unlock new sources of revenue by leveraging data and intelligent value-added services. The company also aimed to reposition itself as a go-to partner in the green transition and to de-risk its supply chain, which was heavily reliant on Chinese suppliers.
Solution
I worked closely with the CEO, the management team, and the private equity fund’s investment team to develop a comprehensive growth strategy targeting 60% revenue growth over a four-year period while maintaining a strong profit margin. The strategy was built on five key pillars:
1.Market expansion and product development
2.Creation of new revenue streams in aftermarket services
3.Streamlining of the operating model
4.Supply chain de-risking, with a specific focus on reducing dependency on China
5.Strategic positioning in the green transition
The project approach was leveraging my strategy playbook and structured around a series of workshops with the management team, customer interviews for insight gathering, desktop market research, expert interviews, and scenario simulations. The final deliverables included a strategy document, a detailed implementation plan with project charters for each of the 33 initiatives, a financial model, and governance mechanisms to steer execution.
Impact
The Board of Directors approved the strategy, which was launched alongside a new brand identity and value proposition. Organizational changes were made to support execution, and a project management office was established to monitor progress. In the first year of the four-year strategy period, the company achieved a significant increase in sales of its energy-efficient products, strengthening its position in the green transition. It also completed an acquisition to accelerate the growth of its service offerings and is now well-positioned to continue on its growth trajectory.