Following a management buy-out, a manufacturer of automotive electronics faced major challenges. It was confronted with a shift of automotive operations to Eastern Europe and the Far East and had to compensate for its customers’ growing unwillingness to fund R&D services. After carefully analysing the strengths and weakness of the organisational structure and processes, Zühlke recommended that specific aspects of the processes be optimized and proposed a fundamental reorganization of the engineering departments.
With the new organisational structure, development, production engineering and logistics became more competitive, faster and cheaper. A flatter hierarchy and fewer line managers made the organisation leaner and improved cooperation within the processes.