​Executive Summary

A global automotive brand sought to enhance its customer experience and optimise its value chain for a premier marketing program that supports sales of its premium vehicles. Facing operational inefficiencies, delivery delays, and a fragmented value chain, the company engaged Envisago to identify root causes and implement strategic solutions. Through comprehensive assessments and tailored recommendations, Envisago helped the client improve delivery reliability, enhance customer satisfaction, and identify cost-saving opportunities exceeding $1 million.

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Background

The client manages a multi-million-dollar, revenue-generating premier marketing program designed to support and boost sales of its premium automotive brand. A key feature of this program is the distribution of a 'member kit'—branded collateral and high-value communications sent primarily via post to members across the globe.

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Challenges Faced:

• Complex and Fragmented Operations: The global fulfilment and delivery of member kits involved a complicated network of vendors and delivery channels, varying significantly by geography.

• Delivery Delays and Failures: Members experienced significant delays in receiving their kits, and some did not receive them at all.

• Negative Impact on Customer Experience: Increasing client complaints and attrition raised concerns about damage to the brand's reputation.

• Operational Inefficiencies: Additional costs were incurred due to handling complaints, repeat enquiries, and replacement shipments.

• Regulatory Compliance Issues: Concerns about mailing methods and compliance with international mailing legislation, especially in Latin America and Asia Pacific.

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Problem Statement

The company's Global Strategy Team recognised the need to:

• Eliminate Waste: Reduce unnecessary costs associated with operational inefficiencies.

• Leverage Cost Savings: Identify areas where expenses could be minimised without compromising service quality.

• Create a World-Class Delivery Experience: Ensure timely and reliable delivery of member kits to enhance customer satisfaction.

• Understand Regional Constraints: Navigate the complexities of international mailing standards and regulatory frameworks to mitigate risks.

However, they lacked a clear understanding of the root causes and a strategic roadmap to address these challenges effectively.

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Solution Implemented by Envisago

Phase 1: Comprehensive Assessment

• Project Scoping:

  • Collaborated with the client's management team in the United States to define the project scope, initially focusing on the US, EMEA, and LATAM regions.

• Operational Audits:

  • Conducted site visits to the client's Contact Centres and Fulfilment Operations in EMEA and the US.

  • Performed interviews with key staff and vendors to gather insights into existing processes and challenges.

• Data Collection and Analysis:

  • Collected and analysed process and performance data across different regions and vendors.

  • Evaluated the logistics network concerning international mailing standards and regulatory compliance.

Phase 2: Identifying Root Causes and Opportunities

• Inconsistent Management Structures:

  • Discovered that management structures and performance measures were insufficient to drive consistent service levels.

• Vendor Performance Issues:

  • Identified that incumbent vendors were not incentivised for high performance and lacked innovation.

• Lack of Standardisation:

  • Noted significant variations in protocols and standards across regions, hindering global optimisation.

• Data Quality Challenges:

  • Recognised poor utilisation and quality of data from legacy systems, impacting decision-making.

• Operational Leadership Gaps:

  • Found a lack of vision and leadership from an operational standpoint, leading to unnecessary costs and compromised customer experience.

Phase 3: Developing Strategic Recommendations

• Gap Analysis:

  • Identified specific gaps in contact centres, order fulfilment, logistics, data management, and vendor/contract management.

• Service Enhancement Opportunities:

  • Proposed initiatives to improve customer service levels and enhance the overall member experience.

• Cost-Saving Opportunities:

  • Identified potential cost savings exceeding $1 million through process optimisation and better vendor management.

• Prioritised Roadmap for Change:

  • Developed a strategic roadmap with prioritised recommendations for each function to address the most critical issues first.​

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Results and Impact

• Improved Customer Experience:

  • Enhanced reliability and timeliness of member kit deliveries, leading to increased member satisfaction and loyalty.

• Operational Optimisation:

  • Streamlined processes and standardised protocols across regions, enabling better performance management and efficiency.

• Significant Cost Savings:

  • Initiated steps to realise cost savings in excess of $1 million by eliminating waste and optimising the value chain.

• Enhanced Vendor Management:

  • Implemented stronger vendor oversight and performance incentives, fostering innovation and higher service levels.

• Strategic Foundation for Growth:

  • Established a clear roadmap for continuous improvement, positioning the client for sustained success in the global market.

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Client Testimonial

"What we value most about working with Envisago is their honesty, enthusiasm, and passion for what they do. Envisago doesn't operate in a 'stuffy', 'corporate' way; they work with flair and honesty, bringing a tremendous amount of knowledge and experience to the table."

— Global Marketing Services Manager, Global Automotive Brand

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Conclusion

By partnering with Envisago, the global automotive brand successfully addressed critical challenges affecting their premier marketing program. Envisago's comprehensive assessment and strategic recommendations enabled the client to enhance their customer experience, optimise their value chain, and identify substantial cost-saving opportunities. The collaboration laid a robust foundation for future growth and established the company as a leader in delivering exceptional customer value.

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