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CLIENT CASE STUDY


Lantmännen Energi: Enterprise performance management

Accenture helped Lantmännen Energi implement an enterprise performance management strategy to help align its strategic plan with daily operations.

Overview

Lantmännen Energi is a division of Lantmännen, a cooperative owned by 36,000 Swedish farmers. Lantmännen operates in 18 countries and has a turnover of approximately €3.6 billion (approximately US$5 billion). Lantmännen Energi has four business units that commercialize environment-friendly gasoline, biofuel, grain-based ethanol and wheat products for the food industry.

 

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Opportunity

As a market leader in the energy industry in the Nordic region, Lantmännen Energi wanted to establish a clearer link between its long-term strategy and its day-to-day operations, thus adopting a forward-looking rather than a historical perspective of its business. At the same time, it wanted to be able to assess client and product profitability within each business unit to help optimize its portfolios of products and services.

The company chose to work with Accenture based on a prior working relationship. Accenture offered a multi-skilled team that paired enterprise performance management (EPM) knowledge with supply chain and sustainability experience. We drew resources from across the Nordic region with specialized support from the Accenture Delivery Centers in India.

Solution

Phase 1 leveraged the Accenture EPM Diagnostic tool to determine how the company could become more target-focused in executing its strategy. Phase 2 focused on implementing a target-setting process within each business unit and comprised three work streams:

  • Developing a value-driven/key performance indicator-driven model

  • Developing and implementing a new process for setting targets and scorecards

  • Developing and implementing a model for managing the profitability of individual customers and products.

The team in India brought its deep spreadsheet skills to the table to help develop advanced analysis models.

Accenture leveraged some of its existing EPM methodologies and frameworks to help reduce risk and execution time, while also assisting in transferring knowledge to client employees. Training played a big part in preparing various stakeholders to adopt the new processes.

Results

Implementing value-based management will help the client align its strategic plan with daily operations. Individual targets based on key performance indicators will assist in contributing to the achievement of stretch targets for the company as a whole. The profitability control model will help the client better understand true customer and product profitability, thus assisting them to make better informed decisions on their portfolios.

The project’s success rested on the Accenture team’s skills, work ethic and its ability to establish credibility with key client resources. In addition, the use of Accenture’s field-tested frameworks and methodologies, including the Accenture EPM Diagnostic tool, helped structure and guide the planning and implementation of the project in accordance with the client requirements while improving delivery time.