'Hub Partnership' was a joint project between Maersk Line (ML) and APM Terminals (APMT) to realise synergies between the two companies. Particular, the focus was to reduce cost leakage and increase operational performance in selected key transhipment hubs. Though both ML and APMT are owned by the Maersk Group, they run as separate companies, with independent headquarters, management, financials etc., meaning collaboration and realisation of synergies between the two is not always straight forward.
In the 'Hub Partnership' project the role of Maersk Management Consulting (MMC), together with the business, was to bring the relevant functions of ML and APMT together and establish the organisational setup between the two companies including; organisational chart, reporting lines, governance structure and yearly operating cycle.
What we did
Established the organisational setup for the ‘Hub Partnership’ covering a range of different tasks, including, among others:
- Study other industries to learn from best practices when establishing partnerships between two separate companies, e.g. the airline industry
- Interview stakeholders throughout the organisations to understand visions for the setup and various pros and cons
- Build the new organisation, including organisation chart and reporting lines
- Establish governance structure for the partnership, including annual operating cycle, escalation guidelines, investment process, and performance framework
Covering the wide range of tasks, the MMC team did everything from desk-top research to facilitating workshops with senior management and defining job tasks at all levels of the organisation, from employees on the ‘ground floor’ to senior executives.
Outcome and feedback
The 'Hub Partnership' project delivered a new organisational setup between the two companies with large cost reduction, from operational efficiency and closer collaboration cutting waste. The feedback from the client was overly positive, stating that they could not have done this without the help of MMC.