03.
Preparing a 10 million company for growth
Scope and size of the assignment:
FTE 75
Revenue 11 M €
Duration around six months
CORPORATE RESTRUCTURING
CHALLENGE
Rightsizing and merging three production and installation companies. Preparing the company for growth through "forward-integration" with three acquired resellers in Sweden and Norway.
Develop scale advantages in administration, marketing, logistics, and management. The initial project was to eliminate several redundant jobs (MBL negotiate and buy out staff). Review material flows and work processes. Ensure H&S through collaboration with external EHS resources.
Create a blueprint for new facilities with optimized flow. Reduce capital tied up in customer accounts receivable and optimize supplier accounts payable (a classic).
LESSON
As an interim CEO, you can create radical changes in a short time. With a clear mandate and the advantage of seeing the business with fresh eyes, you are free to creatively create a new company based on modern models and evidence-based theory.
Key to success is getting the leadership team, middle managers, and staff on board, in that order. Being visible and accessible to production personnel as well as the board of directors makes it easier. It helps to be on the floor and see what's happening.
Tips for understanding a business are to check incoming invoices, then see the cost structures, and review quotes, orders, customer contracts to understand the revenues. By looking at what goes out the production, you can ask relevant questions of the sales division and vice versa.
