Benchmarks & Client Cases

Strategy Review within Agrobusiness

The Challenge

Company performance
Mekko Map: Initial Market Presence

Initial Market Presence
Mekko Map: Initial Market Presence

Problem

• Negative or null EBITDA, after many years of market leadership

• Failure to meet the annual budget

• Low or no presence in key markets and segments

• Underoccupied production facilities

• Retail business unit not profitable



Root Causes

• Unclear corporate strategy

• Sales process contains a lot of Muda (Waste)

• Crop (capacity) higher than sales (demand)

• Lack of a consolidated, organization-wide improvement system and culture



The Solution


• Value Stream Analysis extended to all operating units

• Strategy review and Hoshin process applied from top to bottom

• Standardization and consolidation of Daily KAIZEN™ implementation in all business units

• Focus on improved core processes: sales, agriculture, crop & processing and purchasing

• High focus on sales team organization and sales process improvement with value selling

• Implementation of a business system

The Results

The organization was able to free more than $45,000 in cash flow.


EBITDA

EBITDA

The strategic plan projects an EBITDA of 24% in 4 years.

Sales ($k)

Sales ($k)

Sales increase of 186% in 4 years.



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