CAPEX System Deployment
A poorly designed and functioning CAPEX system can cost a company hundreds of thousands to millions of dollars depending on size. We have set up and deployed a number of CAPEX systems within various companies to properly plan, execute, and manage CAPEX projects and spends.
The Challenge
Poorly designed and functioning CAPEX process for a leading manufacturing aerospace & defense manufacturing supplier driving millions of dollars in CAPEX budget over spends, missed implementation dates, and poor outcome performance missing planned targets.
The Solution
• Designed new CAPEX process flow and guidelines
• Created CAPEX project funnel – corporate wide and aligned by division
• Created prioritization, approval and management system for projects
• Implemented and provided training on process flow and management
The Result
• Subsequent two years CAPEX plan under control to budget targets by division and overall
• Selection process choosing best projects for corporation not just sites or divisions alone
• Dynamic funnel process allowing reshuffle of projects based on priority and budget control
• Process flow and project management driving better planning and execution of projects including tempo of leadership reviews