Working capital crisis - marine faring industry

Situation In less than two years, an Australian-based group in the marine fairing industry, had secured live projects in UK, France and Spain and an attendant workforce of 120+ predominantly sub-contractors. Dramatic growth in revenue and overheads reflected an efficient marketing strategy. However, underdeveloped business systems had led to a working capital crisis; initially with debt financiers, then sub-contractors and now clients.

Task Thirdman was engaged to stabilise the crisis on-site in Europe, understand key relationships and develop practical plans for change.

Action Developed rapport with key stakeholders and tactical plans to resolve conflicts. Initiated strategic planning process, ensuring buy-in from key members of internal team. Turned documented outcomes into operational plans and appropriate performance measurement systems.

Result Business successfully traded through crisis, leading to a second assignment which involved design and implementation of corporate and organisational structures together with a Balanced Scorecard approach to assessing strategic options.