Services for Private Equity Groups
CPQP International offers a proven track record working with Private Equity Groups that invest in manufacturing and distribution. We assist with specific details of acquisition & rollup, consolidation, cost reduction, operational due diligence, improve profitability for portfolio companies, and lean manufacturing process improvement. Our services include the following:
ACQUISITION & ROLLUP
CPQP uses our unique backgrounds and capabilities to work with Private Equity to evaluate prospects for acquisitions & consolidations, based on the business’ chance for being successful. This evaluation process includes preparing detailed cost reduction estimates plus assessing the cost to achieve those reductions. This often includes determining what facilities to keep and enhance, and what ones to close. For those to be kept, and for new locations, we negotiate with local and regional governments to provide both cash and tax incentives, based on bringing new jobs to the location.
Once a decision is taken to consolidate facilities, we actively manage the complete process: budget planning and management, orderly plant shutdowns, implementing plant renovations and upgrades, and for manufacturing plant relocations, managing all the contractors: preparing scopes of work, soliciting quotations, hiring of contractors, implementation, and supply chain optimization.
COST REDUCTION, REVENUE ENHANCEMENT
Private equity investors want to maximize returns. CPQP works with the portfolio firms to implement process improvement using Lean Methodology and tools, such as Value Stream Mapping (a Lean method to determine where value exists), and where to eliminate waste and save money. This usually includes inventory reduction, using additional Lean tools to eliminate waste, and performing supplier assessments and negotiations.