Companies Are Transforming Appliances Through Modularity

Discover why commercial and consumer appliances companies worldwide are adopting a strategic, modular approach to products and processes.

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Optimized For Tomorrow

Transforming the Future of Commercial and Consumer Appliances Industry

The consumer and commercial appliances industry is undergoing rapid transformation driven by advancements in technology, evolving consumer behavior, and a growing emphasis on sustainability. At Modular Management, we leverage our deep industry knowledge and innovative strategies to assist manufacturers in optimizing and harmonizing their product lines, swiftly adapting to market shifts, and enhancing operational efficiency. Our approach delivers innovative and cost-effective solutions, perfectly aligned with the demands of today's dynamic market — all while reducing costs and complexity.

Continuous pressure to reduce operational costs while managing product complexity and maintaining high-quality standards.

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Integration of IoT, AI, and connected features that enhance functionality but add complexity to product development.

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Increasing demand for eco-friendly, energy-efficient designs driven by regulatory mandates and consumer expectations.

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Navigating global disruptions, material shortages, and rising costs, requiring optimized and resilient supply chains.

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Consumer-Specific Challenges

Rapid Innovation Cycles

Fast-paced market driven by trends in design, smart features, and consumer-centric innovations.

Digital Sales and E-commerce

Heavy reliance on digital platforms, direct-to-consumer models, and influencer marketing to drive sales.

Commercial-Specific Challenges

Performance and Reliability

Emphasis on delivering high-performance, durable products that meet stringent industry standards and minimize downtime.

Customization and Compliance

Higher degrees of customization to meet specific industry requirements, balancing flexibility with cost efficiency.

Modular Product Architecture

Streamline product development and reduce complexity

Enhance flexibility and rapid adaptation to market demands

Leverage economies of scale by increasing part reuse and standardizing global production processes

Needs-Based Market Segmentation

Identify key market segments

Align product development and marketing strategies for targeted impact

Boost customer satisfaction and loyalty by meeting specific needs

Supply Chain Optimization

Improve resilience and efficiency

Reduce costs

Ensure reliable delivery of components and products

Brand Architecture and Product Assortment Analysis

For Consumer Appliances

Optimize product lines to meet changing consumer preferences

Enhance brand differentiation and market responsiveness

Compliance Management and Customization

For Commercial Appliances

Streamline the design of customized products that meet industry-specific standards

Reduce the total cost of ownership

Modular Management, through its platform PALMA, offers a range of solutions tailored to support appliance manufacturers in overcoming industry obstacles, driving growth, and staying ahead of the competition.

Modular architecture offers a strategic advantage by accelerating product development, lowering costs, increasing flexibility, enhancing product variety, improving sustainability, and enabling the seamless integration of new technologies. These benefits help companies stay competitive and responsive to market demands.

Accelerated Product Development

Reduce product development time by implementing modular design principles that enable faster prototyping and easier customization.

Cost Reduction

Lower production costs and streamline operations by standardizing components and reducing part numbers.

Increased Flexibility

Quickly adapt to regulatory changes and evolving consumer demands with a flexible, modular product system.

Enhanced Product Assortment

A modular approach expands product lines by combining modules to meet diverse market needs. This strategy enables mass customization, delivering tailored solutions efficiently and cost-effectively.

Sustainability

Design products with modular components that are easier to upgrade, repair, and recycle, supporting sustainability goals.

Integrated New Technologies

Integrate new technologies faster with modular design principles that make it easy to add smart features, IoT, and AI without extensive redesigns

Customer Success

Whirlpool’s Transformation through Modular Product Architecture

Whirlpool, one of the world’s larger appliance manufacturers, partnered with Modular Management to tackle the growing complexity across its vast product portfolio. Facing challenges from global competition and internal inefficiencies, Whirlpool implemented a Modular Product Architecture strategy, starting with microwave ovens and eventually expanding across all product lines. Over an eight-year engagement, this transformation led to a 40% reduction in part numbers, a 25% decrease in product development time, and over $1 billion in added shareholder value. This strategic shift allowed Whirlpool to maintain its market leadership while significantly improving profitability.

Helping Consumer and Commercial Appliance Companies to Thrive

Modular Management, through its Software PALMA, offers a range of solutions tailored to support appliance manufacturers to stay ahead of competition. Our expertise enables companies to streamline operations, accelerate product development, and adapt quickly to market changes, ensuring sustained growth and profitability.

Check some of our success stories below.

Customer Success

Whirlpool’s Transformation through Modular Product Architecture

40% reduction in part numbers

25% decrease in product development time

Over $1 billion in added shareholder value

Customer Success

Husqvarna’s Modular Product Architecture Transformation

50% reduction in time-to-market for new SKUs

40% reduction in part numbers

25% decrease in manufacturing cost

Customer Success

Whirlpool’s Transformation through Modular Product Architecture

Cost and Revenue Impact
With brand strategies driving market volumes and price premiums, the cost side results were significant:

35% reduction in unique parts
25% fewer parts per product
20% reduction in parts costs
40% fewer platforms
10% material cost reductions.

Although harder to identify causality, quantifiable market impacts were also considered remarkable, including significant brand price premiums that even exceeded the cost side results.

Customer Success

Husqvarna’s Modular Product Architecture Transformation

Cut Time To Market by 50%
To overcome challenges like acquisitions, regional product variations, and low-cost competition, Husqvarna needed to rationalize part numbers, lower costs, and globalize product design. Partnering with Modular Management, Husqvarna implemented a modular design strategy for two leading electric string trimmer brands, achieving annual sales of over 500,000 units.

Results Achieved with Modular Design:
50% faster time to market for new SKUs.
25% reduction in manufacturing costs.
50% fewer resources needed to develop new products.
Significant increase in EBIT margin, even amidst fierce competition.
Reduced inventory levels across the supply chain while maintaining low service call rates.

Business Value Delivered:
Developed a profitable entry-level product.
Freed up resources for more new product development.
Successfully entered new markets with unique product variants.

Customer Success

Husqvarna’s Modular Product Architecture Transformation

Business Value Delivered:
Developed a profitable entry-level product.
Freed up resources for more new product development.
Successfully entered new markets with unique product variants.

Customer Success

Husqvarna’s Modular Product Architecture Transformation

Facing rising complexity and fierce competition, Husqvarna partnered with Modular Management to streamline their electric string trimmer product lines. By implementing a modular product architecture, Husqvarna was able to reduce part numbers by 40%, decrease manufacturing costs by up to 25%, and cut time-to-market for new SKUs by 50%. This strategic shift not only improved operational efficiency but also strengthened Husqvarna’s ability to compete in a challenging market, leading to significant gains in EBIT margins and market share.

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Join us in revolutionizing the Consumer and Commercial Appliances Industry with Modular architecture, turning challenges into growth and leadership opportunities!

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Companies Are Transforming Appliances Through Modularity

Discover why commercial and consumer appliances companies worldwide are adopting a strategic, modular approach to products and processes.

Transforming the Future of Commercial and Consumer Appliances Industry

Key Industry Challenges

Continuous pressure to reduce operational costs while managing product complexity and maintaining high-quality standards.

Integration of IoT, AI, and connected features that enhance functionality but add complexity to product development.

Increasing demand for eco-friendly, energy-efficient designs driven by regulatory mandates and consumer expectations.

Navigating global disruptions, material shortages, and rising costs, requiring optimized and resilient supply chains.

Cost Efficiency

Consumer-Specific Challenges

Rapid Innovation Cycles

Digital Sales and E-commerce

Commercial-Specific Challenges

Performance and Reliability

Customization and Compliance

Modular Management Solutions

Modular Product Architecture

Needs-Based Market Segmentation

Supply Chain Optimization

Brand Architecture and Product Assortment Analysis

For Consumer Appliances

Compliance Management and Customization

For Commercial Appliances

What We Offer in the Consumer and Commercial Appliance Industry

Benefits of Modular Architecture

Accelerated Product Development

Cost Reduction

Increased Flexibility

Enhanced Product Assortment

Sustainability

Integrated New Technologies

Whirlpool’s Transformation through Modular Product Architecture

Helping Consumer and Commercial Appliance Companies to Thrive

Whirlpool’s Transformation through Modular Product Architecture

Husqvarna’s Modular Product Architecture Transformation

Whirlpool’s Transformation through Modular Product Architecture

Husqvarna’s Modular Product Architecture Transformation

Husqvarna’s Modular Product Architecture Transformation

Husqvarna’s Modular Product Architecture Transformation

Relevant Resources

Achieving Enduring Competitive Advantage in Durable Goods Companies

Harnessing Brand and Product Strategies for Post-Merger Success

All You Need to Know About Modularization

Proud to work with some of the world's leading brands

Our Leaders

Hank Marcy

Luther Johnson

Johan Källgren

Stephan Wöhe

Join us in revolutionizing the Consumer and Commercial Appliances Industry with Modular architecture, turning challenges into growth and leadership opportunities!