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Publishing Operating Model Transformation

Developed a future Target Operating Model and leadership structure for a leading European publisher, identifying c.20% cost savings and creating capacity for reinvestment.

European Media company – New TOM
Client A European Media Company
Region UK
Sector Media, Entertainment and Technology
Offering Organisation Design
Themes
Centres of excellence Leadership alignment Sustainable cost reduction Target Operating Model (TOM)

The Challenge

A European publishing organisation was feeling the impact of long-term declining print readership and committed to reshaping the publishing business to reduce annualised operating costs by c.20% and create capacity for reinvestment.

While the organisation had a clear view of what it wanted to achieve, it needed support to define how to get there. We partnered with the leadership team to design a future Target Operating Model and guide the organisation through the end-to-end transformation process.

Our Approach

We conducted a four-month review of the Publishing and Audio organisation to develop a future Target Operating Model and high-level organisational design aligned to the company’s strategic ambitions. The work was structured across three phases:

  • Baseline: We conducted 121 interviews and focus groups and reviewed cost and FTE data to understand how the organisation operated, identify pain points and establish a fact-based view of current performance.
  • Design: Working closely with a core design team, we defined the future publishing vision and capabilities, mapped the value chain, identified operational priorities and developed options for the future organisational and leadership structure.
  • Testing: We tested proposed structures, governance arrangements and ways of working through operational scenarios to validate the design and ensure it would support future business objectives.

Key Outcomes

  • Identified ~€300m (c.20%) in potential savings
  • A new Target Operating Model with functional centres of excellence to reduce duplication
  • Customer-centric Organisation Design to support decision making and operational priorities
  • Clear accountability framework with cross functional KPIs and defined accountabilities
  • Identified key behavioural and mindset shifts required to enable the new TOM
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