Effective supply chain management can be pivotal for sustained business growth: A Deloitte survey found that “79 percent of organizations with superior supply chain capabilities (‘supply chain leaders’) achieve revenue growth that is significantly above average.” Miami-based Avaltos is distinguishing itself by helping businesses achieve similar superior results, by transforming supply chains into a competitive advantage by improving processes and costing to increase profitability.
Avaltos has recently started offering its services to a broader spectrum of companies. Until recently, the company worked only with private equity firms in assisting them turn around their acquired companies.
And the company, founded in 2011, has been obtaining impressive, tangible results for its clients, reporting that it has helped grow their bottom lines by $18 million, or the equivalent of generating $180 million in sales.
Due to such success, Avaltos has been able to significantly expand its service footprint: Serving only overseas businesses and private equity firms in its first years, the company’s clientele now encompasses a wide spectrum of business, Fortune 500 and small and medium-sized businesses alike, in such diverse sectors as oil and gas, automotive, chemicals, consumer products, food and beverage, industrial manufacturing, mining and metals, healthcare and life sciences, and utilities and energy.
Avaltos: How It Helps Businesses Optimize Supply Chains for Sustained Benefits Avaltos says that its overriding focus is to help its clients improve their bottom lines by optimizing supply chains, reducing costs and implementing the technology to transform their organizations. Avaltos does this by partnering with its clients to assist them with cost management, cash flow, and overall operations.
Avaltos also augments its clients’ staff so that they can continue running their day-to-day operations while Avaltos helps the clients evolve from tactical and reactive activity to more strategic work — allowing them to become more proactive, visionary organizations. All this, the company emphasizes, is achieved at minimal cost.
And that is realized, Avaltos explains, by implementing leading-edge technologies such as automated business processes, data analytics, dashboard and robotic process automation, and adopting demand forecasting, sales and operation planning, new product introduction and product lifecycle management.
Avaltos: Examples of its impact:
- Avaltos saved a major snack food company $3M in annual spending while also reducing the number of headaches caused by supplier relations. Considering the company’s 10 percent gross margin, that’s the equivalent of $30M in new business.
- An iconic food brand and company with Avaltos’s help obtained savings generated from sourcing exercises in materials, indirect and transportation, and operational efficiencies yielded a 20 percent EBITDA Improvement.
- A leading manufacturer of personal care and beauty products underwent a transformational journey with Avaltos – resulting in working capital being freed up by the release of cash associated with longer payment terms with suppliers and shorter lead times, producing 25 percent savings in some direct categories.
- After Avaltos helped an overseas industrial group, specializing in the construction of complex infrastructure, optimize their supply chain while connecting them with neighboring suppliers, they saved $500,000 across several projects over two years.
“We’re proud that we’ve established ourselves as a pure results-based organization that helps our clients unlock hidden profits in their supply chains while enabling them to improve top- and bottom-line contributions, and to implement radical, tech-driven transformations, all while being cost-neutral,” says Avaltos President Carlos Grimaldos. “Our clients top and bottom lines will always be our bottom line.”