Business Turnaround

Is your business struggling to move forward? Always busy but no cash in the bank? You need a Business Turnaround!

Business Turnaround

Our Business Turnaround service can provide a simple, effective and ongoing plan for your business:

  • Improve your bottom line
  • Improve cashflow
  • Pay better dividends to shareholders
  • Improve debtors and overdues
  • Improve inventories and leadtimes

BusinessBasics assists businesses with the optimisation and improvement of business activities. This is completed through a continuous improvement mentality and effective challenging of preconceived opinions of the current business situation.

We can provide assistance across all steps and activities listed below, and we have achieved great results with organisations of all sizes.

1.  Analysis & understanding

Prior to commencement, assessment of where the organisation came from, is currently, and where it is destined to head. This is achieved by:

  • Define the problem
  • Define the measure of success
  • Assessment of the market situation
  • Determining the purpose and strategic direction of the organisation
  • Build the “dashboard”

 

2.  Modelling & planning

From an understanding of the current situation and a clear definition of the goal, determination of the ways in which the measures of success can be achieved is completed. This is completed through:

  • Review of profit drivers/systemic waste and assess the impact these on bottom line results through modelling of multiple options
  • Creation of projects, KPI’s and define responsibilities for completion

 

3.  Decisive Action

Implementation of the plans generated is critical to success. This is achieved through decisive action in areas such as

1. Customer Relationship/Sales
Decide what needs to be undertaken on a customer by customer basis (or by customer “group”). This can involve:
  • Modification to pricing
  • Modification to supply
  • Exiting of the client relationship where absolutely necessary

 

Operations & Supply Chain Optimisation – Eliminate waste within the supply chain & operations teams
  • Develop operational teams and establish goals
  • Review and refresh stock levels
  • Quick Change/Lean Training
  • Logistical Streamlining

 

2. Decide what needs to be undertaken with the supplier base. This can involve:
  • Renegotiation of pricing agreements
  • Renegotiation of supply agreements
  • Sourcing of alternate supply arrangements

 

3. Focusing of Human Resources
  • Reorganisation and definition of the corporate culture to create a lasting cultural shift
  • Instigation of Performance Targets and Compensation for Employees at all levels of the organisation
  • Key metrics & Reporting

 

Review of the results of the operation of the organisation at regular intervals allows for the determination of what is working and what is not working. Additionally, it allows the determination of what not generating value to the organisation. Metrics and Reporting activities can include:

  • Financial Reporting – including Profit & Loss Statement Analysis, Gross vs Net Margin reporting
  • Operational Reporting – including efficiency metrics such as inventory turns and cycle times
  • Cultural Reporting – including staff turnover analysis, sick/personal leave trend analysis and employee happiness ratings

BusinessBasics has offices in Sydney, Newcastle, Melbourne and Brisbane.