ABOUT US

Our practice is dedicated to establishing the strategies and actions necessary to consistently deliver top-quartile profit growth results. Are areas of focus are:

 

1.) Value Based Corporate Strategy

2.) Market Driven Agenda Management

3.) Customer Led Growth Acceleration 

4.) New Venuture Business Building

VALUE BASED CORPORATE STRATEGY

3 Year Valuation ($M)

Enterprise Value Creation Associated with Alternative Strategies and Capital Allocation Choices (Illustration)

Value

Goal

Current

Valuation

Baseline

Selective Rationalization

Portfolio Mix Optimization

Organic Growth & New Platforms

Aggressive Organic

Growth

Incremental Invested Capital

$60M

  High  

Aggressively Invest Behind Existing and New Markets

Aggressively Invest Behind Share Gain Strategies in Target Markets

Enrich the Mix of Market Participation Across Portfolio

Re-Invest to Support Business As Is

Investment Platforms/

Strategy

3 Year EBITDA

Probability of Success

 $40M  

 $10M  

$20M  

$50M  

$50M

  Med-High  

$100M 

  Medium  

$70M 

  Med-Low  

$80M  

$400M  

  High  

More Aggressively Streamline and Rationalize Portfolio

  • Enables a more informed discussion around the performance and value implications associated with alternative strategies, underlying priorities and investment paths
     

  • Bulds alignment across Board and Leaership team on "where to play" and "how to win"
     

  • Defines key growth platforms and areas of deprioritation or divestiture
     

  • Prioritzes future resource deployment: restructuring/profit enhancement, growth, shareholders/debtholders

 5X  

7X

6X

Multiple

8X

5X

MARKET DRIVEN AGENDA MANAGEMENT

Future Financial Performance

 (Rev, Op Profit, EBITDA EP, Value)

Long-Term "Decision Gap" 

Performance Upside

Strategic Plan

Baseline

Performance

Decision Agenda:

  • High value at stake opportunities that represent upside to the plan

  • Clear value creation potential but further investigation required

Near-Term "Delivery Targets" 

Delivery Agenda:

  • High priority strategic initiatives that are ‘in the plan’

  • Clearly defined actions and resource requirements

  • Creates alignment ‘up and down the organization’ regarding the linkage (and associated tradeoffs) between strategy, capital allocation and value creation
     

  • Establish long list of opportuntiies directly informed by a market-driven understanding of profit pools, competitiveness and accessible headroom for growth
     

  • Builds management team ownership for a dual set of agendas that reflect the most critical ‘delivery’ and ‘decision’ priorities necessary to maximize value creation
     

  • Develop continuous strategic planning – agenda driven – process that is tightly integrated with resource allocation, budgeting and performance management

 

 

 

 

 

CUSTOMER LED GROWTH ACCELERATION

NEW VENTURE BUSINESS BUILDING

© 2018 by TRC Advisory