Chemicals Roll Up and Operations Stabilization

For a mid-market PE owned chemicals company, Quantum led a 12 month engagement to integrate 6 acquisitions and also to stabilize operations at the consolidated central bottling/packaging plant. Quantum set up a PMO structure, built functional integration plans for each of the acquired companies and managed the integration.  The scope included raw material procurement savings, closing down of 2 facilities and opening a new central bottling facility with expanded capacity, increased cross-selling, insourcing, and ERP extension to all locations.  The team achieved the savings targets and all integration milestones. Following the integration, Quantum led a 6-month engagement to stabilize operations at the central bottling plant.  Quantum consultant acted as the interim plant manager, hired key staff, staffed a second shift, set up KPIs and daily reporting.  Reduced back orders by 80% when order volumes increased by 275%.  All of this was achieved while maintaining disease free continuous operations during the Covid outbreak.

Industrial distributor – Operational Assessment

For a recently acquired hardware distributor with 0ver 75K SKUs,  Quantum conducted a detailed post-close operations assessment. Recommendations included consolidating  DC network from 16 to 8 locations, changes to inventory policies, classification and stocking levels, e-commerce fulfillment policies, sourcing & rebates, DC operating procedures, etc. Management has fully accepted the recommendations and is implementing in an expedited timeline

Industrial Distributor-Operational Assessment and Implementation

For a recently acquired fast-growing industrial parts designer/distributor with 20K SKUs, significant Asia sourcing, Quantum conducted a detailed post-close operations assessment. Quantum identified transformative changes in business model, processes and systems, to enable the business to scale to 2X in a few years. The changes include service level definitions, sales processes, SOIP and inventory levels, operations scheduling, assembly capacity enhancements, WMS and SCM software, network structure changes, etc. Subsequently Quantum led a 7-month implementation program to assist the Management team through these changes.

Chemicals Footprint Strategy

For a global chemicals company, Quantum developed its North American footprint strategy – specifically to address if plants could be consolidated. The Quantum team worked collaboratively with the client to assess demand and capacity by various chemistries at the reactor level at each plant, under various business scenarios. Quantum developed several footprint scenarios that evaluated capital investments, reactor utilizations, tolling considerations, tank capacities, infrastructure investments, operating costs, freight considerations, regulatory considerations and customer impact. Quantum calculated CapEx, OpEX and ROI under each scenario, and a recommended path forward.

Chemicals – Plant Consolidation Project Management

For a global chemicals company, Quantum led the integration of 2 of its largest North American manufacturing sites. Quantum worked closely with the client functional teams to develop a detailed program that covered product qualifications with customers, capital investments / capacity enhancements, plant operations process developments, supply chain planning and production transition, logistics and rail transition, etc. Quantum set up the PMO, managed the worksreams and led the 8-month program to successfully transition production on-time, to very high client satisfaction.

Order to ship cycle time reduction

For a lower middle market “Build to Order” electronic components manufacturing service provider, Quantum conducted an assessment of its order to delivery cycle times and identified opportunities to reduce lead times by 50%. Our client provided very high quality production services but customer dissatisfaction with lead times was limiting growth. Quantum collected detailed process data using templates, conducted process observations and analysis to identify key issues affecting cycle times at every step in the process. Quantum facilitated internal discussions to identify solutions to reduce lead times by 50%.

Food Distributor – Operational Best Practices

For a PE owned $12B food services distributor implemented a multi-year operational improvements program to improve EBITDA by $60M through standardizing operating practices in DCs, route optimization, increased backhauls and other operational improvements.

Field Work Force Productivity

For a PE owned $200M retail refrigeration services company with a large field workforce, implemented a comprehensive productivity management program across 2 business units to improve productivity, track construction work progress, improve bidding and manage exceptions. Improved EBITDA by 200 bps which was instrumental in the sale of the company to another PE firm.

Chemicals – Footprint Rationalization

For a $800M global specialty chemicals manufacturer with significant excess capacity and declining markets, developed a detailed business case and plan to rationalize its manufacturing capacity. Modelled multiple scenarios based on cost/benefits, market and competitive impacts and recommended a best fit scenario for implementation.