North America Turnaround and Transformation Program
for a Top 10 Global Logistics Provider
CHALLENGE
Support a new CEO to turn around a consistently loss-making North American business with 50% employee and customer annual turnover in 12 months, defining a market strategy to deliver consistent EBITDA growth while transforming the culture to one of sustainable high performance.
Approach
A multi-faceted approach was required for a particularly complex situation. We started with a full financial analysis and risk assessment of the business environment, a deep assessment of the current organizational culture, and a capability assessment of the top 50 leaders.
We identified twelve initiatives to eliminate a €17M loss in 12 months while creating a new strategy, an employee engagement plan, and building a largely new leadership team.
Impact
Our client turned a profit within 12 months and sustained profitable growth each quarter over the subsequent four years with a new strategy and enhanced leadership team. Employee engagement improved from 45% to 81% over 18 months, while employee turnover reduced from 50% to 16%, well above industry standards. We created a new commercial strategy and structure designed to grow new business and reduced customer churn to 12%.
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Magnifor Consulting - Amsterdam, The Netherlands