Generative AI uncovers 30% productivity potential

With generative AI’s rising potential, our private equity client wanted to unlock its value for an upcoming acquisition. West Monroe’s team of industry and AI experts conducted market research, software analysis, and workforce impact assessments, quickly identifying key opportunities for efficiency gains. We then quantified the impact and provided a clear path for value creation. Our report included specific recommendations for AI-driven warehouse automation and workforce planning, detailing the steps and investments required over the next 18 months to maximize productivity and prepare the business for the future.

West Monroe collaborated with the private equity team, completing the project within a tight four-week timeline. In week one, we conducted research and discovery, followed by executive interviews and in-depth analysis. Our experts from industrial processes and generative AI then synthesized findings into an actionable report, which we presented at the close of week four. The analysis didn’t stop at theoretical productivity gains; it provided a detailed roadmap for applying AI in warehouse automation and workforce planning, delivering achievable steps and investments required over the hold period.

Through a targeted, AI-driven approach, West Monroe estimated that the acquisition target could achieve €5.6 million in cost savings over five years. Our analysis showed that AI-enhanced productivity and automation could allow the business to increase output without growing its workforce, enabling engineers to manage more client accounts and support planned growth objectives. We projected up to a 30% improvement in five-year productivity, driven by generative AI’s organizational efficiencies. Additionally, leveraging warehouse automation could yield up to 50% productivity gains. By the end of our engagement, the client had a robust investment thesis and a clear generative AI roadmap to improve efficiency and drive value throughout the hold period.