Companies producing in Switzerland should regularly review whether their products should be made in Switzerland or abroad. The decision depends on many factors, e.g. customer requirements regarding quality, costs, or delivery times. The optimal production location helps to reduce costs, minimize risks, and increases flexibility. This can be an existing location, a new own location or an outsourcing solution.

Even for companies with several locations in Switzerland and abroad, the question arises as to which locations will be essential or superfluous in the future in the location portfolio that has grown historically or been created through M&A. This also applies to service providers and companies that only operate in Switzerland. This also applies to service providers and companies that only operate in Switzerland. A roadmap for the strategic further development of the location portfolio enables targeted investments, cost savings and a clear distribution of roles between the locations.

Use geopolitical changes as an opportunity to secure a competitive advantage. Helbling supports you in optimizing your location portfolio and strategically aligning it with future requirements. Let our current project examples in various industries inspire you to shape your future actively.

Consolidation of the international location portfolio of a Swiss mechanical engineering company

The mechanical engineering company has grown mainly through acquisitions and has gained over ten locations in Europe. However, its main business is in Asia - and the trend is increasing. High structural costs burden the company, particularly in times of low capacity utilization in the highly fluctuating business.

We evaluated various consolidation options, including reducing the number of locations by more than half across divisions. To ensure a holistic view, we considered qualitative criteria in addition to a financial model for internal and supply chain costs.

The preferred option enables a payback within two years. The management burden can be smoothed and liquidity requirements optimized thanks to targeted staggering. Overall, the mechanical engineering company is moving closer to its target markets and significantly reducing its structural costs, resulting in an average annual EBIT-Improvement of more than 50%.

Optimization of the logistics network of a Swiss building materials retailer with over 30 locations

The building materials retailer's logistics network faces challenges due to heterogeneous logistics, which includes fragmented storage, delivery, and customer collection. In addition, the different operational requirements of the various product groups make smooth processing difficult.

We carried out a comprehensive analysis of the logistics network, including its locations and flows of goods. We then used a simulation to compare different future designs of the logistics network.

The preferred concept includes a consolidated logistics network with a transparent role model for different location types and system-guided and standardized processes. Even in the first implementation step, just a few measures can save around 10% of annual logistics costs, reduce stock levels by over 10% on a one-off basis, and cut CO2 emissions by more than 150 tons per year through optimized transport.

The early involvement of relevant stakeholders and appropriate change management ensures acceptance and successful workforce participation.

Positioning the Swiss branch network of an international personnel service provider for future growth

With branches in around 40 countries, the recruitment agency's branch network has grown organically and through acquisition of smaller recruitment agencies without ever being systematically reviewed.

The Swiss national company wants to gain market share and improve profitability. To this end, it plans to realign the current branch network and expand into new regions.

Based on a market analysis, we identified the potential per region in Switzerland in terms of talent supply, industry demand, and competitive landscape. Next, we compared these analysis results with the strengths and weaknesses of the existing branch network to develop a target image for the future branch footprint, including implementation measures.

Finally, we created detailed profiles containing market data, store information, and strategic options for eleven prioritized regions. These profiles serve the Swiss national company as a decision-making basis for expanding and restructuring the branch network and are, therefore, a central component of the growth strategy.

Key takeaways:

• In constantly changing conditions, footprint optimization is not a one-off project. The location portfolio should be reviewed regularly – ideally as part of the strategy process – and adapted to new requirements
• Companies with multiple locations benefit from strategic planning that examines which value-added processes are to be provided at which location
• Companies with only one location in Switzerland should check whether a broader positioning would make sense
• Important potential for footprint optimization lies in the reduction or variabilization of structural and manufacturing costs, in the optimization of net working capital, and in the improvement of flexibility in relation to the customer
• Due to the different interests of the locations, companies often find it difficult to successfully implement footprint projects independently. Helbling provides comprehensive, solution-neutral, and implementation-oriented support!