On the occasion of the publication of the special report PURCHASES AND COSTS OPTIMISATION, find an interview with Philippe Rivoiron, Director of AROLYS in L’EXPRESS :
Product Competitiveness is the key to the future. Rapidity and simplicity helping cost reduction : this is, after 20 years of expérience in Product Competitiveness, the credo of Philippe Rivoiron, Director of Arolys. This company, based in Paris and Lyon has improved the conventional methods of cost reductions to make them more effective.
How would you define your profession ?
Philippe Rivoiron : We are professionals of Product Competitiveness. Which means specialists of Customer Value, looking for adequacy between products and clients current and potential needs, at the best cost.
What are the observations you raise in companies ?
P.R. : Companies have always strong competences in their core business. But they often lack expertise in cost reductions : the daily efforts of Purchasing, R&D, Production or Marketing are not convergent enough and far from achieving the full potential of innovation and competitive design of their products.
Could you explain ?
P.R. : Conventional approaches of cost reduction in design are too often disheartening : long, complex, microscopic for disappointing savings. We worked to make these methods simpler, more direct and rapid to apply. Product Competitiveness is the key to the companies future. Many American, German or Nordic corporations have beaten records of profitability thanks to it.
How do you proceed ?
P.R. : By detecting potential savings. Our diagnosis identify within a short time and with the company’s teams where are the major potentials of cost reduction and competitiveness. The purpose is to bring out the key findings on needs, costs and risks to build innovative and competitive solutions.
In practice, what can be these potentials ?
P.R. : In fact, we detect the excess of cost and complexity which are not really useful. Thus we identify in a pragmatic and shared way where to focus the efforts to achieve higher savings and increase customer value.
Another area of competitiveness lies in ranges rationalization. Companies often suffer from too many projects and a too complex products offering. Insufficiently legible, it also generates a huge loss of energy to the detriment of indirect costs and real innovation.
Are your results sustainable ?
P.R. : Our approaches are pragmatic and focus efficiently the efforts of all the company players. As they put the product in the heart of a concrete reflection, without any loss of time, they get the support of the teams. We are thus able to reach immediate results, while changing deeply how the company works.
In what kind of companies do you intervene ?
P.R. : We work in all industries, on all types of products, on small as well as on large volumes for many SME and large groups such as Snecma, Thales, AGCO-Massey Ferguson, Alstom, Areva, etc.
Our clients are located throughout France but also in the United States, Finland, Germany… We act wherever prevails the desire for innovation and for competitiveness strengthening.
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