A foreign investment fund based in Northern Europe, in the middle of a due diligence process.
Our client is planning to acquire a new heating, ventilation and water heating company and is currently in the middle of the due diligence process. He wishes to enrich his vision with an assessment of the direct cost reduction potential for the new product portfolio.
The cost reduction potential will have a strong influence on the acquisition process and the appreciation of the company's value.
IAC was mandated to conduct a project evaluation to assess the direct cost situation of the new company. Select 2 or 3 reference products, depending on the breakdown of turnover and the contribution margin, which will be analysed in detail for:
Over a short period of 5 days, the existing room for maneuver is recorded on the main products:
-Accurate mapping of organizations, product lines and purchasing portfolios
-Realistic objectives of 10 to 15% cost reduction depending on the product portfolios were shared with the teams
-Objective of 5% additional evaluated and shared with the teams on the Purchasing portfolio
-Interview with the heads of the Technical, Purchasing, Production, Marketing and Sales functions and Management