Success.
At first they'll ask why you're doing it.
Later they'll ask how you did it.
-author unknown
KCI Technologies, Inc.
Construction Services company suffering from two years of losses, down from $115 million to $83 million, with $16 million in losses. Taylor Protocols executed seven Leadership Team Profiles for each of their business divisions.
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Outcome: Company grew to $160 million with 15% pretax profit. As of 2017 KCI has doubled to $320 million.
Kvichak Marine
Builder of world-class passenger catamaran ferries for destination travel sites worldwide, and patrol boats for the U.S. military. Three equal partners reassigned new positions.
Outcome: Lifted the company from $7 million pace with $1 million in losses to $115,000 million in sales at 18% pre-tax. Over lunch, the President quipped, “We know how to build beautiful boats. You taught us how to make money doing it.”
Veolia
$60 billion Utilities and Transportation Services management company with 350 cities and counties in the U.S. as clients. Owen Boe, VP of Western U.S., brought in Taylor Protocols for Human Capital Audits of their best-performing and worst-performing cities in the nation.
Outcome: Vancouver, WA increased profits four-fold in one year. In Richmond, CA, their largest city with the lowest financial performance, we consolidated Veolia employee roles, reduced Master Mechanics 60% and increased maintenance two-fold, decreasing system down-times and reducing costs. Moved from -4% losses to 8% profits in the first year.
The Resource, Inc.
Recruiting, temporary and permanent employment placement company. At $25 million with poor profits, having sagged back from a $50 million level.
Outcome: A return to $50 million+ in two years with highest profits in their history despite significant market disruption and near-zero unemployment rates. Top Performer Profiles for seven positions. Human Capital Audit and Leadership Team Profile, plus certified CVI training. The CVI is now a central piece of their business model and they are a Master Distributor of our technologies and Services.
Pasquire Panneling, Inc.
$10 million, 100-year-old, wood products OEM supplier. Low value added 16% gross margin, cutting paneling of all types, putting holes in pieces, sanding and finishing/painting. 376 people in three plants with three shifts. Union workers for all plant personnel. Cost of labor at 47% and cost of materials at 53% when we were engaged.
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Outcome: Developed 12 Top Performer Profiles for all key plant worker roles, machine operators, fork lift operators, packaging and shipping team, supervisors, leads and managers. Reduced plant workers to 272 people, increasing revenues to $13 million, with $3.2 million profit in the first year after 90-day restructuring program. Labor reduced to 19% and materials cost to 51%. Became more profitable as a result than in previous 50 years combined.
Knight Transport, Inc.
Flatbed trucking, residential construction products. Company operating at $3 million and losing money. Driver turnover exceeded 75% per quarter. 21 trucks in the fleet with only 14 on the road. Utilization was less than 66%. Top Performer Profiles for all positions completed. Five sales people averaged only $30,000 per month in load sales and did all of the dispatch.
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Outcome: Three different Profiles for drivers were created (short-haul, regional, and long-haul routes) and one Profile for sales. After two years driver turnover was reduced to 22% per year, and the team of five sales reps averaged more than $100,000 per month. Company now operates around $16 million with a solid 12% profit.
Colonial Cedar
Siding and construction lumber, heat-treated and packaged in multiple configurations for sales in lumber yards. $18 million at the start, losing $300K. President sought increase of 15% productivity in his plant. “Don’t tell me I can increase sales, because I can’t get more product. Even if I could I don’t have kiln time to increase production by more than 15%.” Lynn told him he did not want the assignment. “If you want to optimize production I have to optimize the sales team, the purchasing team and the customer service group. And, I am not interested in helping anyone get only a 15% increase in production.”
After a brief discussion in which the President explained he was the purchasing person, he wrote a starting check for $10,000 for the first Assessment Phase, with a promise to allow Lynn to pursue all initiatives required to optimize Colonial Cedar profitability and increased market share. Purchasing was pushed to the Sales Manager. Supply was increased. Kilns were taken to capacity and others were rented for loads with a 5% increase in product cost.
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Outcome: Sales increased from $18 million to $32 million the second year. Top Performer Profiles for the workforce were created, packaging was simplified and the mill employed 35 people. At the $25-million pace, labor costs were held to 23%, down from 45%. In the second year, a profit of $3.5 million was generated on $32 million in sales.