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| The Objective • To develop a strategy that would take this US based automotive component manufacturer from a domestic supplier to a global supplier. The Backgound • The revision to Ford's supply chain strategy (Ford 2000) required this US based automotive component manufacturer to supply components on a global basis where previously it supplied domestic requirement which meant a 3 fold increase in capacity and the development of a global supply chain. What we did • Delevep a workshop based scenario which included customer input and strategic plan which analysed: global demand, competitors, political constraints, distribution & warehousing, transportation and supply chains along with plant capacity and extension. • We then assisted the leadership team with negotiations with competing suppliers to develop merger discussions. • The resultant compelling strategy would ensure continuing operations and higher returns on investment involving a series of international mergers between the company and its competitors and robust implementation and rationalisation programme which delivered substantial synergies. The Result • Capacity was increased by 400% Margins improved by 8% and Supply time improved from a number of weeks to 45 minutes. |
| GROWTH BY ACQUISITION |
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| Case Study - Growth & Expansion |
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| SALE OF CASH-STRAPPED COMPANY |
| The Objective • To enable this Engineering & Construction Company (MCF) to continue trading and provide an exit strategy for its long standing stakeholders. The Backgound • Engineering & Construction Company had over the last 20 years a continuing serious shortage of capital and had exhausted any capital input opportunity. • The existing stakeholders had not received a dividend for that time and wanted to exit their investment. The executive team had sought to raised capital without providing a cohesive startegy or plan. What we did • We conducted internal and external reviews of the company which revealed a strong reputation for competency and expertise. • Its trade name was regonised for dependability, quality and ability to get the job done. • We helped the leadership team to prepared an information memoramdum and lead negotiations with a number of aspiring well funded Engineering & Construction companies in different parts of the value/supply chain The Result • A takeover was agreed creating a vertically integrated company which listed as an IPO at 44c (2005) now $1.4 (DCG) • The leadership team was maintained with input from the takeover company • MCF received $1.2m on merger in cash and shares. |