Client

A MAJOR US UTILITY ($13 billion revenue - 23,000 employees)

After a year long internal cost cutting project failed to produce the earnings improvement the CEO needed, several of the Nation's largest consulting companies were asked for proposals.

EMG's proposal was for a ten week CEO sponsored project that would :

• Deliver a sustainable $300 million SG&A reduction along with undetermined Capital and Inventory reductions and a improved employee engagement.

• The project would be complete in ten weeks and involve a small EMG staff

• Because the WARN ACT announcement had been issued at 3000, we believed  SEI could hit the numbers with a reduced number of job losses

• The fee structure would be based on the results

• EMG was awarded the project the same evening the presentations were given

THE TEN WEEK RESULTS:

A SUSTAINABLE SG&A REDUCTION OF $300 MILLION

A REDUCTION TO APPROVED CAPITAL OF $200 MILLION

AN INVENTORY REDUCTION OF $45 MILLION

PREVIOUSLY ANNOUNCED LAYOFFS REDUCED BY 60%

ALL FROM EMPLOYEE ENGAGEMENT