Case Study
The Lydonia Effect in Manufacturing
Introduction
Leading Golf Manufacturer Experiences Revolutionary Transformation with Intelligent Automation
Lydonia was approached by the leading global manufacturer of golf products to automate several processes. Upon witnessing the rapid improvement in efficiency, the company expanded its automation initiatives and anticipates implementing up to 300 processes by year-end. The introduction of intelligent automation has brought about a revolutionary transformation for this company, resulting in significant returns on investment (ROI) and substantial time savings.
Challenges
- Their core finance employees were approaching retirement with a limited contingency plan
- Numerous timely & manual processes
- Large exposure to human error
Before Intelligent Automation:
- The organization's processes were inefficient and labor-intensive, posing a significant burden on their skilled employees.
- During the peak golf season, a crucial workflow prevented eligible customers with good credit from making additional purchases, while failing to impose any limitations on customers with poor credit.
- Only 16% of customer credit reviews were taking place, leaving the organization exposed financially.
- Due to the restricted working hours of human workers (40 hours per week), the team was unable to complete this process, whereas digital workers are capable of working 168 hours per week.
After Intelligent Automation:
- Automated over 240 discreet workflows
- Real-time credit lines adjustments drive new revenue streams & reduce risk
- Enabled a reduction of 700,000 hours in workload previously handled by human workers
- The client now take a "digital first" approach when onboarding new team members
- The credit review workflow now completes within 8 hours, a significant improvement compared to the previous timeframe of 6-8 weeks.
- Their quarterly revenue increased as the extension of credit enabled customers with good credit to make additional product purchases
- Clients with poor credit were subjected to spending limitations
- Collectively, one automated workflow contributed to customers reducing their Days Sales Outstanding (DSO) by 9 days.
“We started out with 8 processes automated and quickly realized the value of RPA. We now have 100 automations a few months later. We expect to have over 300 processes automated by the end of this fiscal year”
Results
The client’s intelligent automation program is operating across Finance, Supply Chain, HR, IT and Customer Service areas. The team was able to create a Digital-First Mentality to enhance customer and employee experiences. Over a 3 year period they recognized:
- $14.8M in cost savings
- $25.2M in cost avoidance
- $52M in revenue impact
Additional Results:
- 140k hours created in 2021
- 700k hours created in 2022