Context

• Flagging market in both volume and value combined with aggressive competition from newcomers in the business
• Internal disorganization due to a motley portfolio of brands / Thinning profitability per restaurant
• Cash flow generation falling short of financial requirements of rebranding

Our job description

Phase 1: Diagnosis

• Financial diagnosis based on historical data and current situation output. Properly assess profitability of each brand/BU
• Operational diagnosis regarding main flows, internal organization and internal constraints over times of significant change.
• Design a target organization fit to implement synergies between brands and show responsiveness. The company functioned with two-tiered HQ, one for each of the 5 brands and the central HQ. Financial teams only offered shared services to operations.
• Cash flow forecast implementation to secure timing for execution
• Modeling of various scenarios

Phase 2: Implementation of turnaround plan

• Detailed approach reg. Turnaround plan
• Carry-out vendor due-diligence to prepare strategic disposals and document by brand the turnaround plan and carve out issues or upsides
• Cost cutting analysis

Achieved

• Sped up of decision-making upon approval of diagnosis and possible avenues for turnaround by management and shareholders.
• Shared our conclusions with lenders in order to secure financing over that specific period of time.
• A year after forming of the new group, all actions taken and strategic disposals completed

Keys to success

• 6 months process from diagnosis to decision-making and implementation on the field.
• Shoring up of company’s situation based on a slow business assumption, with a view to mitigating dependency on market swings.
• Active involvement of a large number of managers at all levels of

• Model Transformation Plan from P&L to Cash-flows, related timeline and operational actions.