Financial and operational analysis for performance improvement for new businesses at a leading provider of foodservice and facilities solutions in the U.S
Growth Decisions Inc. All rights reserved.
About the client
The multibillion-dollar American corporation is a leading provider of foodservice, facilities and clothing solutions for businesses, educational institutions, sport facilities, federal and state prisons, and health care institutions.
Business Challenge
The company manages hundreds of foodservice and facilities operations for companies around the world. In the U.S., it frequently takes over operations from clients or from competitors as part of new long-term management programs. For each new start-up, the company must analyze how to optimize each operation, increase revenue, manage costs and set up each operation to meet contractual performance metrics.
The client needed to accelerate the time from start-up to profitability. To do so, they needed to understand the root causes for underperformance in order to design specific improvement plans.
How We Helped
Growth Decisions assisted the client’s management with a deep-dive analysis of multi-year financial data for its 20 worst-performing accounts. This included analysis of detailed P&L data with the purpose of building a fact-based, root-cause analysis for each account.
The results for the client included:
·A deep financial analysis of key accounts to quantify new account drag in terms of the worst performing businesses, when drag occurred and how long it persisted.
·A forensic analysis for each selected key account to understand the root causes of variances in revenue, cost and expenses, identifying where and why they occurred.
Set of summary results for each key account to identify commonalities, quantify overall impact and articulate performance improvement actions.
Due to the increase in competitive intensity across industries, the accelerated pace of business and the globalized nature of many organizations, top management is constantly pressured to deliver ever more challenging growth targets