The target company is a leading multi-brand Italian kitchen company operating in both national and international markets, and was facing profit erosion due to a fall in demand. This positioned the company in a financially distressed situation.
The Italian turnaround fund was looking for a partner to identify ways to:
- Increase revenues and improve market position in the German, French and Italian retail markets, as well as in the project manufacturing market
- Improve EBITDA through increased efficiency, effectiveness, and cash release.
Our approach
After a three-week assessment, we started a turnaround program focusing on:
- Outsourcing processes, and a new organization
- Operational process review and an associated productivity increase both in the Italian and the French plants
- Rationalization of products and stock policies
- Time-to-market reduction through a process re-design and configuration tool implementation
- The customer experience, and an associated and needs analysis
- Supply chain performance analysis, and the improvement of supply chain synchronization
Results
The program deployed helped improve EBITDA margin from less than 2% to 12% in less than two years.
Industry: Manufacturing
Project : Turnaround
