CLIENT CASE -
HVAC importer & Installation Company
Shareholders Nationality: Romanian Country of Operation: Romania
Case Study background:
A market leading brand with more than 40 years of operation in the HVAC domain (heating, ventilation, and air conditioning), entered into a financial distress. The financial indicators are negative, the marketing & sales are not performing as it used to be, competition is rising and the business general results are in decrease. Employees have started leaving the company and it is very difficult to recruit new ones, due to the required technical skills and the high competition on this HR segment.
The company owners started this company in their 30’s but now they are over 60 years old and have the interest to retire, however, are not willing to let go their life investment and give up the company
The Challenges:
-
Financial indicators are negative – the business has been losing money for 12 months already.
-
The sale was not going well and this had a direct effect on the cash flow indicators, credit and the total financial management.
-
The competition rate for new companies has been growing, more of them have been joining the market with new services, motivation and advertisements
-
The lack of employees with the required technical skills, while the current employees starting to leave the company.
-
Management problems while owners willing to retire.
Goals:
-
Goal 1 – evaluating the cash flows, finding the distress sources and solving the financial situation
-
Goal 2 – developing an updated and concrete marketing and sales plan according to the current market situation.
-
Goal 3 – analyzing the market and creating a leverage on the competitors, re-branding and identifying differentiation factors
-
Goal 4 – developing a retention program for the current employees and support new recruitment methods from special sources.
-
Goal 5 – creating the new leadership generation in the company that will allow the founders to retire and enjoy the fruits of their works, while implementing a correct management flow.
Results:
-
MCBA started with a complete analysis of the company, evaluating all distress factors – an operation plan was built to manage every direction, so that the work can be done in parallel.
-
An updated marketing study was done and continued with the development of new marketing and sales plan that can accommodate the new market needs.
-
A special training plan to the sales department was implemented targeting a a direct sales increase, and achieving de facto of more than 1000% growth
-
An employee retention program was initiated at the company with long term benefits for employees as well implementing a new methodology for HR recruitment. The company reached employees growth of 230%
-
A new management was appointed, trained and mentored by MCBA, allowing the owner to retire, keep their shareholdings rates and enjoy their life project success.
We started with a company that had only a great past but not having any clear future. We finished with a company that tripled it sales, becoming effectively and made us, the founders, proud again!
In essence, MCBA excels in leading and supporting organizations and its employees with the purpose of becoming a better version of themselves.
M. Enache - Founder & General Manager