Organizational Restructuring
The Situation
Stack’d was engaged by a regulated electricity company to evaluate its operating model and redesign its organizational structure. Faced with a multi-million dollar deficit, the organization needed to fundamentally rethink how it operated and reduce its cost structure to maintain relevance and profitability in an evolving ecosystem of consumer energy needs, preferences and regulatory requirements.
Our Approach
To achieve the goals of financial and operational sustainability, the Stack’d team:
- Completed a detailed current state assessment to validate competitive value and restructuring opportunities.
- Engaged the leadership team and staff to define and co-develop a desired future operating model and capability requirements.
- Leveraged best practice, research and organizational knowledge to co-create, evaluate and select a to-be organizational structure and operating model with the leadership team.
- Developed a detailed plan to enable the organization to implement the desired future structure, operating model, and achieve targeted cost savings.
Value Received
Within the 12 week period of the engagement the client defined a desired future state operating model and organizational structure. They realized a headcount reduction of ~25% of its management positions and an annualized savings of >$5 million.