The interim manager was initially hired by the German subsidiary of a Dutch metal trading group as interim CFO. The parent company generated annual sales of EUR 600 million with more than 1,000 employees. The German subsidiary achieved an annual turnover of EUR 60 million and had 45 employees. However, the company in Germany was clearly loss-making.
In the further course of the project, the interim manager also took on a special project as interim CRO to close the loss-making production/assembly facility, including the sale of fixed assets. This involved relocating the warehouse to the group headquarters in the Netherlands. At the same time, 20 employees had to leave the company.
Reporting and processes professionalized as interim CFO
As part of the commercial management as interim CFO, the interim manager redesigned the processes for monthly and annual financial statements at the German subsidiary and prepared the financial statements himself. He was also responsible for monthly and annual reporting for the Group. He also provided strategic advice to the Management Board on all finance, accounting and controlling issues.
SAP system adapted and OPEX planning introduced
On the interim manager's initiative, the existing SAP system was adapted to enable more targeted evaluations. In addition, the interim manager introduced OPEX planning (costs for raw materials, operating materials, personnel, leasing, energy, etc.). He also improved quality management by evaluating complaints and initiating corresponding improvements.
In addition to OPEX planning, he introduced further strategic innovations: New regional business areas in Germany were staffed with new sales employees. Greater flexibility among sales employees meant that the personal fit between sales employees and customers could be improved. A side effect was that the reassignments improved the internal mood in the teams. Ultimately, the interim CFO also professionalized the fleet management and was able to significantly reduce costs there.
Annual result turned from minus one million to plus one million
In total, the interim CFO's measures saved more than €500,000. In addition, the annual result rose from a loss of more than EUR 1 million to a profit of just under EUR 1 million.
Special project as interim CRO for partial closure
The main aim of the special project to close the loss-making parts of the company was to achieve a smooth and accepted transition from the employment relationships at the lowest possible cost. At the same time, key employees had to be kept on board until the end of the project. To this end, the interim manager held numerous discussions. Retention bonuses made a further contribution to ensuring that a sufficient number of staff could be retained until the end.
Inventory and building successfully sold
The interim manager successfully sold the machinery, equipment and warehouse inventory to customers, small business owners and employees. The building went to a medium-sized company. To this end, the interim manager - in collaboration with the corporate headquarters - commissioned several specialist real estate developers and brokers and paid them according to a sliding scale model. He himself conducted the discussions with the brokers - and later with the interested parties.
Outplacement places all employees in new jobs without transition
Through outplacement measures and the involvement of HR experts, all employees were placed in new jobs before they left. On the one hand, this avoided the damage to the company's image that usually accompanies a closure. It also reduced the closure costs, as only 2 employees received severance payments.
