Wider product range, lower costs and increased market share
The client
The Electrolux Group is one of the world’s largest producers of appliances for kitchen, cleaning and outdoor use. Electrolux-Wascator is a company in Electrolux Laundry Systems.
The challenge
How do you expand in a mature market? Electrolux-Wascator decided to focus on new segments by developing tailored solutions. But how do you do that in a cost-effective way?
The solution
“By using a modular approach the opportunities to create these customised solutions exist,” explains Bert Nordholm, President Electrolux Laundry Systems. “The complexity of the potential product variation requires a new approach in both marketing, sales, development and production processes, but the effort has proven its worth!”
A key issue was how to transfer know-how and support for modularization to the core team. Key personnel at Electrolux-Wascator were trained in Modular Management’s unique methodology. The result was a unit that took over the responsibility for training and maintaining modular thinking in the company.
The results
It was the largest project in the company’s history – but the results were nothing short of epic:
- 40 product variants from a single platform
- 47% reduction in article numbers
- 90% decrease in electrical system work.
Perhaps best of all, Electrolux-Wascator bucked a trend and has seen a 5% increase in market share in certain segments.
To find out more about the benefits Electrolux-Wascator gained from modularity and how Modular Management helped implement a new product architecture, download the Electrolux-Wascator case story (pdf 586 kB)