#1 Transformation at a Government Agency
Problem
Solution
Solution
- Degradation in audit quality due to multiple management review layers
- Average audit time 33% too long; costs 15% over budget
- Staff on national audits appraised by manager unfamiliar with their work
- Extremely low morale; high turnover of top staff
- Executives immobilized by strong disagreements on solutions
Solution
Solution
Solution
- Executive retreat to design experiments in audit reorganization
- Developed & propagated team-based audit approach across agency that reduced average audit time by 40%, cut costs 20% and increased audit quality
- Reduced turnover of top staff by 25% within one year
- Solution cost $150M; in the first year alone, 50 audits which otherwise wouldn’t have been completed reaped $350M+ for the Federal Government
#2 New Business Process at Accounting Consultancy
Problem
- $2-4M/quarter revenue lost to dissatisfied customers
- “Our consultants need better skill in handling angry customers.” But research showed…customers were angry because…
- No consistent consulting methodology or tools in use; no version control for project documents; Client documentation (billing, diaries, et. al.) not branded, sloppy, inaccurate & contradictory
- Internal team communication fragmented, lacking any standards
- No team rules re: responsibility for discussing project scope
Solution
- Developed standard consulting tools, methodology and online project/team management platform
- Developed branded and standard team/client communications documents & rules/responsibilities
- Reduced lost revenue by 95% ($12M/year) for investment of $175,000 (6000% ROI)
#3 Paving the Way to a Successful Acquisition
Problem
- High-visibility ethical lapses of senior executives had recently cost $125M
- Six companies acquired with different business standards had added $53M revenue/yr., but difficulty blending them successfully
Solution
- Develop/deliver change initiative focused on ethics standards for all employees worldwide & led to successful integration of all businesses
- Costs: development, $55,000; implementation by supervisors to their work groups, $100,000
#4 Turning a Liability Into a Strategic Asset
Problem
- To avoid $3M fine, legally required to prepare employees to operate safely with hazardous chemicals
- Key customers also required to prepare their employees but lacked the means to do so, representing threat of lost sales
Solution
- Developed effective change program that met company’s internal requirements & avoided fine
- Program Cost: development $95K; delivery $75K
- Hercules established new business to sell the initiative materials & methodology to customers, generated $750,000/yr. in profit in first year alone
#5 Reaping a New Business from a Near Disaster
Problem
- Early deaths of senior execs due to smoking & weight problems were causing strategic upheaval and costly stock valuation problems
- Life-style change programs developed in response were effective for rank & file who completed them, but senior executives were dropping out at high rates or not participating at all
Solution
- Developed new orientation campaign that doubled completion rates, tripled participation of senior executives. and extended their useful working lives by an average five years
- Company able to market program to other corporations and generate profits of $3.2M/yr.
- Cost: development, $125,000, implementation $75,000