Realignment of the Finance Function as a Prerequisite for Implementing a Results-Oriented Growth Strategy in a Private Equity-Owned Mechanical Engineering Company

The Client

The company is a mechanical engineering company focusing on the food industry. It is internationally active with significant growth potential, particularly in foreign markets.

Given this background, a German private equity investor became a shareholder in the former family-owned company two years ago with the aim of unlocking this potential.

The Challenge

New growth strategy requires adjustment of the finance function

The solidly positioned finance function no longer met the requirements of the newly defined growth strategy, particularly with regard to:

• Transparency of business processes
• Order-related earnings reporting, project controlling, and preventive risk management

The Solution

Experienced interim CFO with relevant industry knowledge and expertise in the PE environment

The manager appointed by Boyden was a seasoned professional with many years of experience in mechanical and plant engineering, in the CFO role at international companies, and in collaborating with private equity investors.

The interim manager acted in close cooperation with the company's CEO and in continuous dialogue with the private equity investor.

Awareness of the importance of appropriate risk management

During the current project, general market uncertainties gave rise to significant risks with regard to certain sales markets and some relevant projects that had already been completed. Adequate risk management had to be ensured in this regard so that the company would be able to continue to deal with uncertain and complex situations in the future.

The Result

Reorganization of relevant processes, structures, and functions

Processes, structures, and personnel in the finance department were set up and adjusted to ensure reliable accounting, reporting, and controlling of ongoing business and, in particular, project-related activities.

In agreement with the CEO, the groundwork was laid for the successful implementation of the strategy and the proper handling of risks.

Successful transition to permanent CFO

Once a new CFO is found, responsibility will be handed over to them within the running year.

Client’s Voice

“The Interim Executive was a skilled navigator who guided us through difficult waters with his keen sense for the necessary changes and laid the foundation for future growth.”