Each of the areas described below represents significant element of day-to-day business of each company. Some of them will require full time involvement while others can be realized through interim or advisory project. Selection of right involvement is greatly influenced by company’s specifics. For each of my clients I build tailor made solution.
At project realization I pay attention to:
- good project planning with setting key milestones,
- good resource allocation and
- result monitoring,
Growth strategy setting and implementation
Company’s strategy is not a thick document which is written once and for good. Changing business environment forces adjustment to new reality and strengthening of the organization. Depending on sector specifics adjustment of the strategy may be required every 2-3 years. Development strategy may be connected with entering a new geographical or product market, acquisition, merger, or may be natural consequence of some internal change opening new opportunities. Except for market strategy and good development idea it is crucial to ensure justification of the idea with financial and cash-flow model.
Restructuring strategy setting and implementation
Restructuring strategy does not have to be connected with problematic situation at the company. Restructuring can result from change of market situation or change in company’s strategy. Larger restructuring process involves all areas of company’s activities. It may include change in sales structures, cost reductions, optimization of organization structure and headcount levels, modification or introduction of new internal processes. All these changes are aimed at strengthening of the organization to allow better response to changing business environment. To design restructuring plan I analyze all or selected areas of company’s operations, asses required modification, evaluate savings and margin increase potential. This forms foundations for creation of action plan and its implementation.
Integration of companies
Integration process can be realized via number of methods: merger, takeover, assimilation of department to existing business, or transfer of assets. Each requires preparations not only with respect to operations, finances and legal aspects, but above all with respect to proper communications with external and internal stakeholders. Successful integration requires decision making skills, good planning and good understanding of motivation and communication.
Finance and liquidity
Cash is king – bankruptcies happen to companies with liquidity problems, not these that are making losses. Good understanding of company’s liquidity allows better preventive planning. Rolling cash-flow is one of good planning tools. It gives information about potential liquidity problems and helps plan preventive activities to minimize risk of bankruptcy. Implementation of preventive activities will require modification of processes, renegotiation of business agreements, or changing sales strategies.
Effective management information is required for any decision making process. It should be allowing for quick and reliable information about revenues, costs, liquidity and profitability. Well designed management information system supports every day decision making processes at all management levels allowing for timely response supporting positive and eliminating negative outcomes. Management information includes reports, but also cost structures, budgeting systems and budget responsibility, as well as good analysis of processes and profitability. Well designer management information is crucial for designing motivation and remuneration systems within the organization.
Management Architecture defines set of structures and interrelated systems supporting managing organization. It includes setting adequate organization structure, assigning human resources optimal in number and qualification, provision of right management information, motivation, remuneration and evaluation systems. Setting sound and functioning management architecture builds solid foundation for realization of growth and development strategies.