Designing a structured problem-solving system tied to financial outcomes
Context
After organisational restructuring and ERP transformation, Alimex faced recurring performance challenges:
- Quality issues
- Delivery instability
- Inventory imbalance
- Operational firefighting
The problem was not a lack of effort.
It was the absence of a structured system to identify, prioritise, and solve problems sustainably.
Lean Six Sigma was introduced not as a training program — but as a governance and capability framework.
The Principle
Improvement initiatives fail when they are:
- Isolated
- Tool-driven
- Detached from financial impact
- Dependent on individual enthusiasm
The objective was therefore clear:
Design a structured, leadership-driven improvement system.
The Architecture
The deployment was executed in three waves, anchored at executive level:
- Group CEO
- CFO
- General Manager
- Myself as LSS Champion
Improvement was governed, not delegated.
1. Opportunity Governance
A central opportunity pool was created and reviewed regularly.
Projects were selected based on:
- Financial relevance
- Operational risk
- Strategic alignment
Improvement became a portfolio — not a collection of ideas.
2. Capability Development
- 25 Green Belts trained in three waves
- Black Belts certification completed
- Project assignments tied to real operational challenges
Training was immediately linked to execution.
No theoretical exercises.
Every project addressed a live constraint.
3. Financial Accountability
Within the first year:
- 1M EUR in savings delivered
This was not estimated value.
It was tracked and reviewed at steering level.
Improvement was connected to EBITDA and working capital impact.
Black Belt Projects Impact (Illustrative)
Three major Black Belt projects addressed chronic structural issues:
- Aluminum stock-out reduction 80% reduction in stock-out incidents
- On-time delivery improvement (Swedish market) Improved from ~30% to ~90%
- Days Inventory Outstanding optimisation Reduced from 120 days to 75 days
These were not isolated wins.
They were outputs of a designed problem-solving system.
Results
- Structured improvement governance
- Cross-functional capability embedded
- Measurable financial impact
- Reduced firefighting culture
- Leadership visibility into operational risk
Lean Six Sigma became part of how the organisation made decisions.
Key Insight
Sustainable improvement does not come from training more people.
It comes from designing:
- A governance structure
- Clear financial linkage
- Executive sponsorship
- Real accountability
Tools enable improvement.
Architecture sustains it.
