Case Studies

CASE 2:  PBS ASSISTS INTERNATIONAL SERVICE COMPANY TO GROW ITS BUSINESS

Project Background:

An Irish medium-sized fast growing client company had developed a dominant niche in a knowledge intensive service sector. 

The client, wishing to maintain its position in the market, was planning to expand significantly over the next three years.  An outline strategy had been developed by the owners.  However, they wanted an objective assessment of how well prepared the company as a whole was to meet the challenges of the market and the growth strategy.

Project Objectives:

PBS focused on testing whether there was good alignment between the company’s business strategy and its current organisation, people and business processes.

Project Approach:

PBS met with personnel from four levels within the business – Directors/Owners, Management, and two key operational levels.  This information was documented and analysed to address the following:

  • Strategy – clarify the strategy being followed by the company and assess the operational plan developed to pursue this strategy;
  • Organisational Structure – document the future organisational structure required to support this strategy;
  • Core functions and processes – analysis of the core business functions (Finance, Sales & Marketing) and business processes to assess preparedness to implement a change in strategy;
  • People – analysis of the roles, responsibilities and goals of the employees and how these might alter to support company strategy;
  • Information Systems – the implications for the information systems used by the company both on site and remotely as a result of the strategy change.

This Objective Business Overview raised a number of issues that needed to be addressed in order to ensure the company was aligned for future growth.

Project Results:

Observations and recommendations from the analysis were reviewed with the Directors. Conclusions were drawn and categorised into items for both immediate implementation and future action as outlined below:

Immediate Implementation

  • Development of a more effective cash flow management function to support changes as a result of expansion.
  • Review of pricing policy across all revenue streams to ensure quality of return.
  • More structured separation between daily operational issues and longer term plans.
  • Development of more effective operational functions focused on effectiveness of the core operation.

Future Actions

  • Development of a detailed financial plan in support of the revised strategy.
  • Reduction of administration content of company directors’ role to allow them to focus on company direction.
  • Development of detailed Sales and Marketing plans in line with the strategy - inclusive of a strategic pricing policy.
  • Access Financial Control and HR Management expertise.

While the business had a long sustained history the planned expansion came with higher risks. The owners were very operationally focused which was critical in their progress to date. By seeking an external Business Objective Overview, the owners were ensuring that the company’s structure, its capabilities and the efforts of its people were aligned with the growth strategy in a way that would allow them to convert this strategy to specific strategic actions.