The manufacturing industry is a crucial sector of the global economy, transforming raw materials into finished goods. The industry is evolving rapidly, driven by technological advancement and changing consumer demands. At Quest, we have helped businesses in the industry that need M&A services to CFO support services. Quest has options for any business and will meet the owner where they are at in their journey.
$30M Industrial Manufacturing Company
The Challenge: Working with the CEO and Management Team to help stabilize and grow the company during post-covid times.
The Solutions: Acted as the Fractional CFO to this subsidiary of a NYSE company by having a high-level budget, financial and strategic reporting and presentations to publicly listed management team.
The Results: Made the company over $200,000 in year 1 by developing efficiencies and negotiating settlement with vendors.
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$75M Industrial Manufacturing Company
The Challenge: Helped the company transition from the death of principal as Pres/CFO after full-time CFO resigned.
The Solutions: Worked with a broker to establish exit strategies for the company and 4 subsidiaries as well as negotiated variable pricing to customers based on fluctuating steel prices resulting in multimillion dollars in revenues and profits.
The Results: Was able to negotiate $2M retroactive price concessions from major customer. This resulted in a $5M+ in increased price changes for future 2 years.
Trend #1
To improve talent attraction and retention manufacturers can consider employing a new digital look tapping into the knowledge of retirees and establishing external partnerships to build and upskill the talent pipeline.
Trend #2
Manufacturers are increasingly leveraging digital technologies embracing a smart factory approach and exploring the industrial metaverse to improve agility, resilience, and efficiency in the face of economic uncertainty.
Trend #3
Supply chain challenges persist, and manufacturers are pivoting toward digital solutions, including the industrial metaverse, to drive supply chain efficiency resilience, and innovation.
Trend #4
Manufacturers are investing in digital technologies that can create new and enhanced aftermarket offerings that could lead to revenue-generating opportunities, enhanced customer loyalty, upselling and cross-selling opportunities, and a competitive advantage in general.
Trend #5
Federal funds, incentives, and a general drive toward a net-zero future have led to increased investments in product electrification and decarbonization. Manufacturers are implementing a variety of strategies to overcome some of the challenges associated with the transition.