Ground transportation - Business model, transformation

For a world leader in ground transportation – Business modelling for the overall company’s transformation on a large geographical perimeter
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The client and context:

·      The client is the biggest player worldwide in cableway transport solutions industry ($ 900 M).

·      It has a highly vertically integrated and horizontal model , they export in 88 countries and have more than 35 subsidiaries on 5 continents.

·      More than 14.500 installations operating.

·      Goal: implementation of several HUBS Worldwide 1 per continent.

·      Pilot HUB: LATAM zone.

The challenges:

·      Transformation from a multinational company to a transnational company.

·      Define the clear definition of what a HUB should do.

·      Final approval from the board and the different stakeholders.

·      Delocalization of services and / or product lines / manufacturing / after sales.

What we Did:

·      We created two separate teams in order to have different angle view.

·      One based in LATAM zone, one based in Austria in Europe, in order to analyse from a different perspective the local and the global approach.

·      We analyse: Geographical situation, Logistic implication, stability of the economy, currency used, parity to USD, taxes (local, Import/Export/ dividends), political stability of the country, flight connections, sales strategy, warehouse and after sales, free trade zones, status of the employees, safety, salaries, social benefits, between the different countries in the LATAM zone

·      Costs, necessary resources, benefits, R.O.I, Time line to execute.

What we achieved:

·      We had two results that the Board really enjoyed, and we got the congratulation of the studies realized globally.

·      Panama with already company on site was defined to be the best place for all points except salaries costs.

·      Colombia was determined the best place in terms of sales, and market potential.

·      Due to new situation, Panama papers, Colombian instability actions are getting done upon this analysis.

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Expert Team

Alibaba Babayev

Managing Partner, Azerbaijan | International Relations, Government Affairs, Legal

Stephane Jeanneteau

Managing Partner, France | Industry, Steel, Energy

Dato' Seri Dr. Nazily Noor

Managing Partner, Indo-Malaysia | Aviation, Healthcare, Renewable Tech

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