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Case Studies
Advanced Green Architecture
Project: Startup Funding
Client: AGA is a startup company based out of Grand Rapids, MI.
Business Environment: AGA has a patented product called Advance Green Roof that was developed through research at Michigan State University. This product is a second generation green roofing solution that allows the grow to be set on angled roofs as well as flat ones. AGA was looking to get their new company off the ground and engaged SCI to identify and recommend funding options.
Approach and Solutions:
SCI reviewed the AGA Business Plan and proposed changes.
SCI identified four funding options for AGA and made introductions between the owners and lenders/investors:
Traditional Loan from Credit Union
Government backed SBA Loan
Business Incubator Options
Venture Capital Firm (SCI coached AGA to help them prepare for a VC pitch)
Results: With the advice of SCI, AGA decided to choose the traditional loan path and grow organically before they made a pitch to an investing firm that could help them expand rapidly. Since the project AGA has completed many successful projects and is expanding rapidly on their own.
Delphi Technologies, Inc.
Project: Premium Freight Utilization
Client: Delphi is a world leader in mobile electronics, transportation components, and systems technology for the automotive industry.
Business Environment: Delphi had a Midwestern component factory that was unable to perform value adding processes on a particular component due to capacity limitations. These limitations required Delphi to use premium freight to transport the component to a foreign manufacturing facility for temporary processing in order to prevent work stoppage in the Midwestern factory. Due to the high costs of transporting this component between factories, Delphi contracted Spartan Consulting to review its premium freight usage and recommend potential milk run logistic lanes between suppliers and partner installations in the region.
Approach and Solutions:
Analyzed premium freight usage for the facility based on different carriers, modes, lanes, dollar values, weights and volumes.
Identified opportunities for consolidation of shipments between several facilities and across numerous shipping modes.
Recognized and quantified potential cost savings from moving some shipments from higher cost modes to ocean freight.
Applied the principles of economies of distance and scale to identify same-day shipments for possible consolidation.
Identified and segregated routine shipments for movement on scheduled milk run lanes.
Forecasted trade-off costs as they apply to increased inventory and decreased service as material is shifted to less costly and slower transportation methods.
Results: The above information, along with details on total logistical network costs allowed Delphi to shift non-critical components to cheaper transportation modes and experience cost savings from a decrease in premium freight.
MSU Healthteam
Project: Supply Chain Management Assessment
Client: MSU HealthTeam is the faculty group practice within Michigan State University, with both primary and specialty health care service providers. Affiliated with the College of Human Medicine, the College of Nursing and the College of Osteopathic Medicine at MSU, MSU HealthTeam’s providers are active in both teaching and research.
Business Environment: MSU HealthTeam needed to optimize their supply chain and quality management practices.
Approach and Solutions: Spartan Consulting was contracted by the MSU HealthTeam to perform three main tasks:
Complete a supply chain model of Clinical Center Pharmacy
Evaluate the QS1 system to determine its current relevancy
Analyze and document procurement and inventory policies as well as build a foundation to recommend solutions to improve inventory flow, turnover and carrying expense.
Results: As a result of our efforts, we were able to present the MSU HealthTeam with seven process maps of various pharmaceutical operations. In addition, we identified six potential replacements for the current QS1 system, outlining the two best options. And lastly, we provided eleven recommendations for the improved operations of the pharmacy unit.
Jackson National Life Insurance
Project: Marketing Plan for Business Continuity Program
Client: Jackson National Life (JNL) is a subsidiary of one of the largest UK insurers (Prudential PLC). It offers low cost financial services (fixed, equity indexed, and variable annuities) and life insurance products through Jackson National Life Distributors (its subsidiary and wholesale distribution arm), banks, regional broker/dealers and independent agents.
Business Environment: JNL needed a marketing plan to develop a feasible strategy to enter the business continuity services market. This plan needed to allow the company to recover yearly fixed maintenance and facility costs as well as any capital investment needed to operate its Lansing business recovery facility.
Approach and Solutions: Spartan Consulting developed a situational analysis that included company analysis, competitor analysis, and customer analysis/market segmentation. Interviews with JNL personnel and an analysis of readily available information, including 10-K filings, were conducted as part of the company analysis. The competitor analysis consisted of telephone interviews with established business recovery firms, consulting groups, and industry experts. We applied size and industry criteria in determining potential customers for this service within the Mid-Michigan area for the customer analysis/market segmentation. These potential customers were interviewed by telephone to determine what type of business continuity programs they currently have and what their level of interest would be to JNL’s offerings. Based on the findings from the situational analysis, SCI developed a marketing plan that presented several potential strategies that JNL could pursue to capture this segment.
Results: Based on the information collected during the situational analysis, Spartan Consulting recommended a marketing strategy that would complement JNL’s available business continuity resources and services with potential customer needs in the Mid-Michigan area, and that would recuperate fixed costs and capital investments of JNL.
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