International transformation and strategic realignment | Business case as interim CEO/Managing Director
- Producing company
- Two locations
- International Group
One site of an international group had come under enormous pressure in terms of price and cost situation. The competitive situation necessitated a completely new set-up of the blueprint of the plants at the sites. A GOiNTERIM Manager was appointed as Interim Managing Director with responsibility over two sites with approximately 1,000 employees. He was able to quickly stabilize the division, get the employees behind him through competent leadership and implement the strategic realignment. This enabled the Group to successfully develop its business further.
The location of the plant was under enormous pressure with the product portfolio and the production conditions (especially personnel costs and efficiency). The site was also a very important location for the international group of companies with management responsibility for the plant in Slovakia.
A new site layout was necessary. To this end, a concept was drawn up with the help of external consultants that provided for the relocation of the entire site, including development and engineering. The Managing Director at the time gave his notice during this phase. Thus, there was a time pressure to appoint an experienced manager for the restructuring.
Why did you bring the GOiNTERIM Manager on board?
Independence and a neutral view or expertise and experience speak for interim solutions. In addition, in this case, there was the time constraint and the immense challenge. The talks with GOiNTERIM started in November, the appointment had to be made by the end of the year at the latest, so that the operational responsibility as Managing Director for the two locations can be taken over immediately. In addition to speed, the expertise and advice provided by GOiNTERIM was enormously important for us. GOiNTERIM has a qualified network in the automotive and discrete manufacturing sector and was therefore able to introduce the right manager within a very short time.
What are the prerequisites for the GOiNTERIM Manager?
Very convincing personality with appropriate skills and experience in global companies and similar challenges. The GOiNTERIM manager was an experienced manager with an international background in the automotive industry. He also had experience in the areas of restructuring of plants, operational management to all issues of relocation of plants including social plan negotiations and negotiations with the unions and works councils. Exactly these high requirements were very important for filling the MD position.
What were the goals / tasks of the project?
As the company was in the middle of a site restructuring project and implementation had to start immediately, it was necessary to immediately take over the operational management of the company with two sites. The leadership deficit had to be addressed, the unrest in the company had to be calmed down, and despite the tough restructuring course, the company’s employees and managers had to be motivated and picked up again.
Immediately, in addition to the management of daily business, the review of the master plan and the start of implementation were carried out. It was a “jump on the moving train.”
What success did the interim management assignment bring?
Excellent management of the operational side of the business helped to win employees back to the cause. There was a turnaround to a more participative management, the employees felt picked up again and participated actively and constructively in all projects and in the new strategic direction.
In order to increase competitiveness and improve efficiency in the company, especially in production, the LEAN initiative was revived. Furthermore, it was necessary to launch new projects for strategic implementation and to establish a professional PMO.