Corporate strategy for a fast-moving consumer goods company in the Kingdom of Saudi Arabia
Consumer goods & retail

Developing individual SBU strategies, cross-SBU processes, organizational set-up, and a new corporate governance model.


Challenge

  • Increased threat of multinational companies entering the market
  • Changes in legal constraints of shareholding and direct investments
  • Continuous growth and the required change from a family-run, mid-sized company to an international player in the Middle East
  • As part of the establishment of a long-term vision and corporate strategy for the group, Arthur D. Little was asked to develop individual SBU strategies, cross-SBU processes, organizational set-up, and a new corporate governance model

Approach

  • Current situation: internal & external analysis, benchmarking, opportunities
  • Determine stakeholder visions, family governance
  • Evaluate strategic options: scenario development, criteria, model selection
  • Develop strategies including marketing, sales, production, supply chain, R&D, sourcing; financial projections; sensitivity analysis
  • Organizational development 
  • Implementation plan

Value

Full corporate strategy developed: governance structure, roles and responsibilities of the management, group vision,
strategic business units: 

  • Operating model: SBU strategy, resource requirements, organizational set-up and cross-SBU processes
  • Business modeling: profit & loss statement developed as basis for further detailing

 

Audit results to compare client’s operations with benchmarks: manufacturing, IT, logistics, and M&A/private equity