Product portfolio and modularization

Redesign the product portfolio and define the technical modules of a leading mining equipment company


The client had acquired a major competitor and had developed a product portfolio strategy. Due to the combination of two product offerings, product complexity had increased significantly. In order to reduce complexity, a modularisation project was set up for current and future products.


Arthur D. Little deployed its methodology including:

  • Module definition
  • Module ranking
  • Definition of module variants
  • Mapping of variants into product portfolio


As result of the project, the modularisation covered over 99 % of the sales volume but with on average 50 per cent fewer module variants. The offering was extended supporting the new product portfolio strategy. Further variant reduction potential would have been possible by eliminating more low-volume variants.

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