Return on interim management within 12 months

Tier 2 supplier A GmbH for the automotive industry with 200 employees is part of an American group of companies. A GmbH is profitable. However, comparative analyses have shown that the costs of purchasing, logistics, warehousing, transport are too high. The longtime purchasing manager does not speak English. Therefore, the order is only made in the German-speaking world and an exchange with the international colleagues does not take place. Nor has digitization progressed much.

The managing director bids farewell to the purchasing manager in early retirement. Before hiring a new permanent supply chain director, an interim manager should reorganize purchasing, analyze processes, such as spelling out steel and electronics components worldwide. Check Make or Buy decisions. Working capital is to be reduced. An exchange with international colleagues is to be organised in order to possibly sign up for framework contracts and to learn from best practice solutions. The managing director wonders, where do I quickly find such an expert now and will not be too expensive. He had already hired a consultant who had charged € 1,500 plus travel expenses. His tips were valuable, but difficult to implement with people of their own.

What we are looking for is one who will do it himself and, if possible, achieve savings in this financial year. Only an interim management provider knows such experts with a guarantee of success. Here, the expert took 150 days to complete all the tasks and finally incorporate the new supply chain director. He has achieved a saving of € 300,000. Its cost in just under 8 months has amounted to € 200,000.

Verdict: A significant return on interim management. All measures taken by the interim manager have a lasting effect.