Successful Cases
Measurable gains captured in all executed projects.
High rate of return for customers with an average return of 8 times the investment.
Commercial Aviation
Post-Merger Integration
BPI played a pivotal role in mapping and capturing synergies between two airlines that became part of the same controlling group.
Throughout the project, an action governance process was developed collaboratively with managers from both companies, with the shared objective of capturing maximum synergies within the expected timeframe.
The synergy levers worked on involved:
- Increased revenue through network integration and sales channels;
- Optimization of expenses through gains in scale and enhanced bargaining power with suppliers.
Road transport
Expense Optimization
BPI executed the implementation of the Zero Base Budget in 13 bus companies within a large national group.
These companies had been facing a decline in margins, stagnant Net Revenue, and an undue surge in costs and expenses.
Through ZBB, over 100 managers underwent training, leading to the identification of more than 50 initiatives aimed at optimizing and eliminating costs.
Apart from instilling a culture of austerity within the team, the project yielded a notable 15% increase in EBITDA by reducing expenses without disrupting management and operations.
Education
Organizational Structure Review
Amidst the COVID-19 pandemic, a private higher education institution faced significant challenges due to a surge in student defaults and dropouts, necessitating a balance between income and expenses.
Through the diagnosis conducted by BPI, it was revealed that 70% of the Institution's expenses were concentrated on Personnel (salaries, charges, and benefits), exceeding the sector average. To mitigate expenses, an organizational restructuring was deemed necessary
Throughout the project, assessments were made regarding team productivity, opportunities for process automation, harmonization of salary ranges, and the readjustment of hierarchy.
Telecommunications
Management for Results
A company specializing in internet services and fiber optic data transfer had an ambitious growth plan, but the maturity of its management was relatively low. BPI implemented a Balanced Scorecard, establishing a set of goals and key indicators to measure the company's development.
Global goals for the short, medium, and long term were defined and further broken down into various other goals and operational indicators. Individualized panels were created for all managers, aligning their goals with the broader scope and objectives.
As metas globais de curto, médio e longo prazo foram estabelecidas e a partir delas desdobradas em diversas outras metas e indicadores operacionais.
The company achieved significant results, including improved capital allocation, successful completion of key projects, and an enhanced operating margin.
Agriculture
Turnaround
A publicly traded company in the agribusiness sector faced an inappropriate capital structure characterized by a high level of short-term debt and consecutive negative gross margin results.
BPI played a crucial role in the company's restructuring process by directly renegotiating liabilities with creditor banks and suppliers
The negotiations led to an extension of payment terms and haircuts (discounts) on liabilities, providing significant cash relief and opening the possibility for the company to resume growth.
Highway Concessionaire
Expense Optimization
A highway concessionaire in the State of São Paulo experienced a rise in the proportion of costs and expenses relative to Net Revenue, surpassing comparable players.
BPI implemented the Zero Base Budget, wherein all the company's expenses and projects underwent evaluation and prioritization.
The project resulted in a noteworthy 12.9% reduction in the scope of costs and expenses, fostering increased cash generation and ensuring compliance with mandatory infrastructure investments outlined in its concession contract.
Traffic Control
Expense Optimization
A Traffic Control company specializing in radars and urban signage encountered margin erosion as rising costs and expenses outpaced net revenue growth.
BPI implemented Zero-Based Budgeting, cultivating a culture of austerity and enhancing budget knowledge among managers
Throughout the project, a conducive environment for innovative cost optimization ideas from managers emerged. This led to the replacement of several suppliers, changes and automation of processes, a revision of the organizational structure, and the elimination of lower-priority activities.
The outcome achieved was a notable 6% optimization within the scope of the managed expenses.
Pension
Expense Optimization
A pension fund associated with a national State-owned company had been grappling with expenses exceeding the revenue generated from administration fees, leading to the financing of its deficit through withdrawals from the administrative fund
Recognizing the unsustainability of the situation, the board engaged BPI to identify opportunities for expense reduction without causing disruption to the company.
Over 20 efficiency initiatives were pinpointed, encompassing a review of benefits, reduction in travel expenses, closure of open positions, and elimination of low-priority activities. The mapped and approved optimization amounted to 15%.
In addition to expense optimization, BPI facilitated discussions regarding the imperative to increase the fund's revenue, ultimately leading to the implementation of initiatives in this regard.
Retail
Expense Optimization
An e-commerce supplements business under Judicial Recovery was grappling with challenges in sustaining operations due to a lack of cash generation and restricted access to credit. A decisive measure was imperative to maintain operations with the minimum possible level of expenses
BPI implemented Zero-Based Budgeting, conducting a comprehensive evaluation of the entire expense chain and prioritizing all company activities. Together with the client, the threshold level of increments for sustaining operations was assessed, leading to the elimination of non-priority increments.
The outcome was a substantial 19% reduction in expenses, providing a crucial cash boost and ensuring the company's survival in time to generate its UPI (Isolated Productive Unit).