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industrial equipment manufacturer: from rags to riches

​Background

 

The client was an industrial products business with facilities in the UK and Europe and sales of over £300m. After several years generating losses, it was acquired by a Private Equity. Our involvement started during the pre-acquisition phase, when we help the leadership team to identify opportunities to reduce the losses and generate cash for the business.

A major transformation programme was launched, covering all areas of the business, aimed to prepare the business for exit.

What We Did

  • Identification of opportunities to create value Planning and executing a complete business turnaround of a medium size global company. 

  • In its first year, CONSULTAVILA  designed and implemented a new replacement part organisation. Including the entire supply chain, channels to market, distribution network , pricing and inventory policies. 

  • This was followed by a re-structuring of their manufacturing footprint, creating focused factories, capable of delivering on time and most important of all …profitably!  

  • We worked with the management team to simplify and optimise their more complex  and key business processes, helping them to keep one step ahead of the competition in a highly competitive market

Results

 

  • Recovery of spares market share by achieving over 95% availability with less than 1/3 of the previous inventory within 6 months. This increase in revenue and profits provided the cash required for the overall transformation of the company

  • In less than two years, the company achieved a complete turnaround,  guiding away from financial troubles and gaining recognition as a top UK manufacturer, achieving double digit growth and profitability, putting it well ahead of the market rate. 

  • Following a successful transformation of the entire business, the company was successfully exited

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