Background and Challenge
L.E.K. Consulting's client, a leading independent film studio, had recently changed ownership and was looking to conduct a wholesale review to optimize performance.
Historically, the business was profitable; however, opportunities remained to refine commercial, operational and sales practices to create further value for its owners.
Approach and Recommendations
- Developed a value-based model of the studio’s operations, to understand the key drivers of performance and to quantify the impact of any proposed initiatives
- Collaborated with senior and functional management to develop an agreed-upon list of priority initiatives with the potential to drive additional value in the business
- Developed solutions to complex issues, including pricing strategy and the allocation of accommodation types across the site to minimize structural barriers to utilization
- Developed an implementation path forward that defined work streams and teams to capture the performance improvement opportunities
- Supported work stream teams with solution refinement and implementation, embedding relevant capabilities and tools to ensure change program success
- Provided the studio owners with a comprehensive understanding of the drivers of value in their business, and a set of solutions with which to move them
- Optimized high-level and functional organization structures to help deliver on key initiatives, particularly within sales, to align resources with target customer segments
- Developed actionable path forward with key activities, deliverables and timelines that could be leveraged to quickly deliver results
The estimated impact of the opportunities identified included an overall improvement of over £13M in EBITDA (representing over 40% uplift)