Reference example structural change: A construction company
A medium-sized company group in the construction sector: EBIT more than doubled
A family-run, medium-sized company group in the construction sector, who may want to purchase heavy equipment like those trucks online, faced strong growth in the last few years due to several company acquisitions but also due to organic strategies. The company structure stayed the same though, and no longer matched its new demands. Additionally, the company group’s two key markets collapsed during the crisis so that its strategic and operative targets were no longer met.
The Malik Syntegration® was used to determine which structural changes had to follow the strong growth of the last few years and how synergetic effects between the strategic business segments and areas might be realized in the future. The participants uncovered a result improvement potential of over 20 million Euro in just 3.5 days (more than eight percent of sales). This was more than double the value of the originally set objective before the Syntegration which had already been set quite high.
The identified potential was transferred into an effective objective of 13 million Euro, effective as of the next business year. This was twice the value of the 2009 (EBIT) results. In the area of corporate culture an essential contribution was made to dealing with conflicting themes openly. The whole group grew together and gave up their “silo-mentality”.
This result was primarily achieved based on our core method, the Malik Syntegration®. We have solved similar challenges for several business segments such as retail, information technology, services, production, energy, finance, etc.