Task

• Loss-making company
• Commissioned by the holding company to optimise processes and return to profitability
• Furthermore, staff turnover was to be counteracted

Industry/ Function / Environment / Expert

• Mechanical engineering company
• Production management
• Environmental technology

• The managing director should remain in office, but his tasks should be limited to sales in order to ensure that the corresponding orders are received.
• Design, procurement and production were to be shifted to the CRO’s area of responsibility.
• First, the processes had to be analysed in order to identify the cost drivers by means of key figure analysis.
• Furthermore, it was necessary to find the reasons for the loss of staff and to counteract the fact that the market does not have enough experts in this area.

• Demands of the CEO on the staff beyond the normal level led to overload and dissatisfaction among the staff
• The micromanagement of the CEO caused further employee turnover
• Analysis showed that the quality management was hardly developed, resulting in the service department being overburdened to correct the deficits with the customers
• Lack of structures in the supply chain led to idle production, which turned out to be one of the biggest cost drivers
• In the meantime, the reputation had suffered so much that the holding company was advised to close the company, integrate it into the existing infrastructure of a similar subsidiary and restart it without the CEO.

on request