Our client is a PE-owned manufacturer of plastic container and closures. The company has 16 manufacturing facilities across N America with more than 300 production lines.
Having struggled with slow organic growth, the organization had been rapidly growing through acquisitions. This left them cash constrained and needing to optimize an increasingly complex business structure to free up working capital to drive continued growth.
Leadership brought in Maine Pointe to help realize synergies, break down silos in its procurement organization, quickly generate EBITDA savings and increase multiples to prepare for future sale.
The speed and inorganic nature of growth meant procurement was decentralized and highly siloed in nature with no processes or policies in place to drive a unified approach. Every site was doing things its own way and, as a result, procurement wasn’t leveraging best prices. This meant they were unable to free up capital which, in turn, was hindering the organization’s ability to grow.
Maine Pointe’s subject matter experts saw a tremendous opportunity to release cash. However, the client’s leadership were concerned that focusing on this would come at the expense of driving EBITDA improvements. Our delivery team proved that it is possible to achieve both and deliver the triple effect of driving out costs, releasing cash and enabling growth in a relatively short space of time. We achieved this by:
Maine Pointe’s delivery teams worked side by side with our client’s team to:
We tried this with two other consultants; this time it worked!" - VP Strategic Procurement