Client Situation
Cedar’s client is a top Facilities Management services company in the UAE, providing hard services like energy management, building maintenance and electrical systems and soft services like cleaning and housekeeping. Both services operate as independent entities catering to clients in the hospitality, government, and other commercial sectors.
Given the company’s plan to expand into new markets and diversify its customer portfolio by offering new services in a highly competitive market, there was a need for infrastructure development and service quality improvement. As a result, the company mandated Cedar to aid with a fast-track way forward growth strategy for this objective.
Cedar’s Approach
- For this engagement, Cedar assisted the client with a way forward strategy by implementing an “Inside-Out” approach. In-depth market assessment to understand the real estate and facilities management industries, globally and in the UAE
- Detailed study of the economics, growth drivers, government initiatives in the sector, market segments, challenges, and trends in these industries
- Competitive analysis and benchmarking to understand the operating model, customer profile, product mix and technological readiness of leading facilities management companies in the UAE
- Comprehensive assessment of the company’s financial performance and measured profitability of 50+ customers for both hard and soft services
- Exhaustive internal process analysis with industry benchmarking to identify challenges in the organization structure, technology and 3 internal processes
- Extensive study across 6 critical success factors for internal growth drivers in the company
- Thorough Review of the current processes such as procurement, service mix and lead sourcing to identify the scope for improvement in customer conversion and portfolio, service offerings, workforce management automation and technology infrastructure enhancement
- Recommendation of KPI based Sales and Marketing engines, robust Process Design for business efficiency, and Organizational Restructuring for business integration
Outcome
Cedar's way forward strategy recommendations led to business reorganization and restructuring for better efficiency and growth with the following outcomes:
- Integrated Business and Operating Model with consolidated hard and soft services
- Realignment of Organization Design, including Job Descriptions, KPIs, and Roles and Responsibilities
- Lead and Account Management based Sales engine:
- Targeted 3 new industry segments
- Generated 80% revenue from key customers
- Achieved 20% gross profit margin
- Process Design for 4 functions – Sales, Procurement, Operations, Resource Management
- Infrastructure and Technology Development across 2 formats of business operations