Following the signing of a merger, FTI Consulting was engaged by the international private equity fund that owned a leading contact centre to identify back-office areas with the greatest potential for performance improvement and prepare an implementation plan.
FTI Consulting clarified the reasons behind existing inefficiencies and defined a set of initiatives that would increase EBITDA by 2.0% over a period of less than three years.
Proposed future initiatives poised to increase EBITDA by 2.0%.
Projected EBITDA impact to be realised in less than three years.
The approach allowed for a smooth integration by engaging target’s management with future prospects.
By identifying inefficiencies, aligning stakeholders and drafting a detailed plan within an established timeframe, FTI Consulting helped the company find a pathway to positive returns within one year following implementation.
This project was carried out between signing and closing, creating a “clean room” for the post-merger organisation.
The operating model of the support functions differed from region to region, creating inefficiencies due to the overlap and duplication of activities and systems. With the alignment of key stakeholders, FTI Consulting defined a set of initiatives to tackle cost drivers and a plan for deployment.
FTI Consulting worked with the client to understand functions and cost allocation procedures in order to create a single headcount and expenses database for all countries in scope.
Experts developed an exercise to assess areas of opportunity based on productivity ratios, exclusive of effort, investments and one-offs or associated risk.
The team identified and tested potential drivers for organisational inefficiencies and quantified incremental operating and capital expenditures, as well as one-off costs.
All initiatives identified and quantified were tested and prioritised, ultimately building a realistic and pragmatic implementation plan.
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