Chief Operating Officer (private equity)
A Spanish company, participated by a private equity fund, requests the collaboration of QMT to incorporate an interim manager as Chief Operating Officer for 8 months. The firm designs, produces and markets products for hospitality, commercial equipment and the home.
It has challenges in the management of warehouses (they are full), in the purchasing function, and the distribution function. Part of the management team wants to expand the factory and warehouses. The shareholders are not satisfied with the way the Operations office handles its responsibilities.
The QMT interim manager organizes the departments involved:
- Manufacturing planning according to sales forecasts.
- Changes in process organization and factory layout.
- Redesign of the logistics system.
- Improved quality control to detect defective parts.
- Control of inventory levels.
Results after 8 months
The Chief Operating Officer achieves widespread improvements in all target areas, the most prominent being:
- 40% reduction in the value of the stored products.
- Increased production capacity by 15-18%.
- Decrease in the space of stored goods by 30%.
- Decrease of 18% of transport costs.
- Increase of 3.5 percentage points of profit.
- Team training to continue this successful way of working.
As a result of previous achievements, the margin on sales was increased by 3.5 percentage points, the need for financing was adjusted, and borrowing was reduced.