Switching from rapid reduction to optimization of costs
Cost reduction practices resulting from today’s crisis have moved at pace. As firms look towards recovery, attention shifts to how to best to invest for an accelerated recovery and reboot. Organizations must reconsider cost in the face of a new normal, understanding what is right for today, but also how to start smarter tomorrow.
Operational Cost Optimization brings together operational and supply market expertise as part of the ‘response control’ team. The service works on agile principles, plugging in Proxima experts into the planning and investment cycle, supporting the organization to make fast and informed investment decisions against shifting business priorities;
- Agile ZBB style approach to baselines and investment decisions
- Rapid comparison of internal, external, and digital solutions
- Fast supplier engagement and risk assessed costing
- Future-focused planning for a smarter fixed/ variable cost mix
Recovery & Reboot – Proxima Approach
During recovery and reboot, organizations will be focusing on what needs to be done in the immediate and the near term. Proxima will provide a service lead (or leverage the existing PMO) to plug into the business planning team. We use our leveraged knowledge to help the team consider options for crucial investment decisions with speed and confidence;
- Agile decisions – using market knowledge we help the organization to debate and select internal or external solutions quickly
- Accelerated sourcing – we quickly connect to the right suppliers and put in place market-relevant terms, balancing risk and speed
- Mid-term plan – we create a rolling mid-term plan supporting the organization to optimize the internal vs. external and fixed vs. variable costs.