Challenge
This company has diversified to become the largest U.S. manufacturer of outdoor storage sheds and playsets including swing sets, slides and climbing walls.
Over the last decade, the parent company had experienced sustained growth through continued acquisition activity. However, within the past few years organic sales had fallen flat, and the lack of integration and optimization across its acquired business units had put downward pressure on its consolidated EBITDA.
Many of the functional areas and back-office support in different locations had both duplication and variation of business practices. Leadership realized the need to address these deficiencies in order to be more efficient and remain competitive.
Solution
Two key themes were established from our business analysis: Consolidation and Optimization. Our engagement was organized into four main work streams:
- Customer Support Optimization
- Control individual performance variability (20-38%)
- Reduce non-value add activity (26% observed)
- Field Operations Integration
- Merge and align two field management organizations; improve span of control and tighten assigned territories
- Elevate managers from ‘super doer’ status to more proactive management roles
- Increase utilization of technology and adherence to proper process in coordination with Customer Support
- Organizational Re-Design
- Consolidate and realign functional areas
- Closure/reduction of facilities
- Management Operating System Implementation
