Product Innovation for Emerging Markets
Cost Saving Opportunities for Hand Dish Wash
Procter & Gamble's Hand Dish business faces higher feedstock prices and price volatility with growing complexity of its product portfolio. It wanted to conduct a strategic review to identify opportunities to significantly reduce the cost of manufacture.
Innovia explored opportunities across the whole supply chain, e.g. changing sources of supply from oil to other base stocks; using naturally-derived actives; different ownership and operating models for its manufacturing assets; manufacturing processes to enable quick change between SKU's and reconfigured distribution. We learned from the differences between P&G's operations and those of other world-class manufacturers. We drew on analogies from many other sectors such as: revenue and risk management in the airline sector; plant stewardship for peroxide manufacture and bottle-making and -filling for beverages.
The work led to a series of cost reduction initiatives. In each case, we described opportunities with precedents from other industries and a clear statement of how cost saving is achieved.