A medium-sized producer of high-tech textiles generated more than half of its turnover in the automotive industry. Due to falling margins, the company (250 employees, turnover of 100 million euros) was in danger of getting into difficulties. The interim manager was given the mandate to open up new sales markets in the industrial, medical technology and clothing industries with innovative, profitable and sustainable products.
Uncompleted post-merger integration identified as a stumbling block
During the preparations for the realignment, the interim manager quickly realized that the company lacked numerous prerequisites for a successful transformation. The company had been created from the merger of two companies. However, the post-merger integration (PMI) process had never been completed. For example, the organization of the processes for product creation, acquisition and the order-to-cash process had not been adapted. The job descriptions and employee assignments were inadequate.
Destructive disputes and coronavirus disrupt work processes significantly
In addition, the changes resulting from the merger had not been communicated sufficiently. As a result, people did not feel that they were being listened to. This situation resulted in far-reaching disruptions to work processes and a break in the corporate culture. Among other things, blame, hostility and work-to-rule characterized the cooperation. The situation was made even more difficult by coronavirus restrictions such as shutdowns and contact restrictions. In order to create the basis for acceptance of a realignment, the interim manager first had to restore the trust of managers and staff that had been damaged by the inadequate PMI process. This was achieved in numerous open discussions.
Strategy developed for new products, target groups and digitalization
In the next step, the interim manager recommended that the Executive Board work with Business Development to develop a new corporate strategy that included all specialist areas. Together with the team, the interim manager held strategy workshops on relevant future topics, conducted SWOT analyses and developed the Business Models Canvas. This formed the basis for ideas for new products and new customers in the non-automotive sector.
New processes and documentation as well as agile project management introduced
Once the realignment had been described in terms of content, the interim manager set about optimizing the company's processes. In particular, he coordinated processes across departments and ensured comprehensive documentation. At the same time, he introduced agile project management methods. This created a necessary prerequisite for digitalization.
Enabling flexible implementation of customer requirements and new market opportunities
Within just four months, the interim manager had not only developed a new product strategy together with the teams, but also realigned key processes from product development to acquisition, ordering and payment. As a result, the company is now able to react quickly and efficiently to customer requirements and requests. The mandate ended after a total of seven months. At this point, product development, research and sales were working intensively to test the new product ideas for feasibility and market opportunities.
