Why it really matters

In any manufacturing, retail, or service business, labor is a critical component of operating and financial success. And labor costs are one of the highest areas of controllable expense. It’s important to remember, though, that cost management is only one element of labor optimization.

Reducing labor costs too aggressively can sub-optimize results, leading to lost revenue and profits. To achieve the best outcomes, you need a partner with the expertise to balance service and costs.

Why AlixPartners

Our approach to labor optimization begins with understanding the strategic drivers of labor needs—from shop floor productivity and quality in manufacturing to the consumer experience and labor productivity in retailing and service businesses. We also bring insights into global labor policies and requirements, combined with hands-on experience in all aspects of labor optimization, including:

• Planning

• Budgeting

• Scheduling

• Allocation

• Incentives

• Policies

Our “Return on Invested Labor (ROIL)” model applies a unique approach to leveraging fact-based analysis to identify opportunities to ensure that each dollar of invested labor has a payback that meets business-hurdle rates. We have partnered with business leaders across industries as they navigate these highly sensitive labor decisions to bring expertise to critical labor-related situations coupled with a focus on implementable, high-impact solutions.