Production near Shanghai, 300+ staff, 270 mio. revenue
- No profit for 3 years despite strong increase in the products globally.
- Heavy investment in a new factory to attempt meeting twisted market reports.
- Trusted manager, employed from startup, controls finance, HR and IT.
- Anyone in conflict with trusted manager will be removed.
- Investor and global management are convinced the company is 100% depending on the trusted manager.
- The team replaced the VP and took over purchase team for an interim period.
- New VP assigned and permanent purchase team established.
- Savings on +30% equaling RMB 15 mio. yearly, with several quality improvements.
- Transparency and consequences of complex financing, clearly favoring personal interest.
- Internal manager’s conflicts, and unclear responsibilities discovered and organization reorganized.
- Lowering blue collar staff turnover of 70%, to below 30%.
- Huge wastage from production examined and root causes identified and improved.
- Complete turnover of logistics and external warehouse.