Must deal with market demand shifts, high interest rates, and other financial setbacks
Must up-level the workforce and re-engage a fatigued leadership team
Need to create value fast despite marketplace and company turmoil
After acquiring a specialty chemical company with potential, a private equity (PE) firm realized that the company had performance issues, severely reduced productivity, and steady erosion of EBITDA. The company was losing the fight against leadership fatigue from revolving owners, market headwinds, and below-standard procurement, operations, and logistics functions. The company needed to pivot from survival mode to value creation despite being without a full leadership team.
The PE firm turned to their preferred partner, SGS Maine Pointe, to bring EBITDA and process improvements and to fill the leadership gaps—a safe pair of hands to rescue a floundering company.
SGS Maine Pointe:
Used Total Value Optimization (TVO)™ Entitlement to identify value creation initiatives that would bring incremental value
Developed a dashboard to track operations KPIs and metrics, allowing fast remediation of problems
Designed a report that tracked exactly how and when VCIs translated into increased EBITDA and profits
Employed the TVO process to mature procurement, operations, and logistics and drive leadership and organizational improvement
Strengthened the supply chain, lowered logistics costs, and modernized operations
• In a very competitive marketplace, embracing TVO entitlement and diligence helps to underwrite the business case
• Despite organizational gaps and market shifts, TVO can help you recoup margin at very crucial times