Hardgoods Manufacturer

by Leo Pound on January 25, 2013

Hard Goods ManufacturerUnder Pound Consulting’s strategic direction, two struggling international hard goods manufacturers were reinvented into three separate, thriving businesses.

The Challenge:
A change management firm with diverse industry experience, Pound Consulting Inc. assists companies with operational and strategic planning during difficult transitions.

The firm was retained by a U.S.-owned Canadian-based hard goods manufacturer to optimize operations and boost profits. The company operated five manufacturing plants, funded by U.S. and Canadian lenders. They employed over 750 people in North America. Although the firm sold their contracts in U.S. dollars, they manufactured in Canadian dollars, a dichotomy that adversely impacted the company’s revenue. Without a currency hedging policy in place, the firm was at serious risk.

In the meantime, Pound was also hired by a second, family-owned firm in Germany that manufactured a similar product line.

The Plan:
Leo Pound, leading this assignment, quickly realized that to make these companies profitable, the firm needed to manage the following;

  • Create and implement a foreign currency hedging policy (this will link to a blog posting)
  • Streamline production, customer service and accounting departments.
  • Decrease receivables and establish company-wide payable terms.

The Result:
Under Pound Consulting Inc.’s recommendation, the following developments occurred:

  • The first company was divided into three separate segments.
  • The German company acquired the U.S. business.
  • The Canadian company was split into two divisions. The East division was sold to a Canadian private equity firm. The West division was retained by the original U.S. owner.

Today, the three separate entities are thriving and profitable businesses. The companies continue to follow the strategic plan implemented by our firm.

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Leo Pound

As Pound Consulting Inc.’s founder and principal, Leo Pound is responsible for day-to-day operations, as well as building partnerships, maintaining relationships and providing value to all clients. Born and raised in Philadelphia, Leo has spent most of his career helping companies around the world.  He has worked with many multi-national companies – including ones based or operating in China, Australia, Canada, England, Germany, Japan and more. He has in- depth knowledge of operational and strategic planning, M&A, forecasting and budgeting and cost containment. Leo is a hands-on professional who is sensitive to the pressures and challenges facing a troubled or rapidly growing company and their management team.

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