A radical turnaround led by a new and diverse leadership team created dramatic results
Things were not going to plan
Following launch and for a number of years, this particular business, an operating country of a larger group, never achieved its potential and was a market laggard. An experienced interim CEO was brought in with a mandate to fix the business and build a new leadership team, including his own replacement.
After an initial stabilisation period, selecting a new leadership team (CEO, CFO and CMO) was mandated to KWR. The business needed new external hires with diverse operating experience, all previous leaders had been internal transfers from other international operating countries but all had limited international experience beyond their home country and brought a playbook from other markets where the company was in a dominant position, in this market, the business was a challenger with strong competition, internal transfers repeating their playbook was not working.
What to do now?
Working with the interim CEO, KWR produced shortlists for each leadership role within 4-6 weeks, all candidates were known, heavily pre-referenced, had exceptional career achievements and possessed high performance potential as well as cultural compatibility. Each successful candidate was headhunted from different countries and regions.
All selected candidates received highly competitive counter offers by their employers and all declined these to join KWR’s client.
Results
While the in-country market size declined by 5%, the business increased market share by over 6%.
While reducing and optimizing costs the business achieved exceptional levels of growth (all during COVID restrictions), CAGR rose to 15%, EBITDA reached 35%, Net Profit rose to an all-time high of over 30%
To date, the long-term achievements of the new team are eight quarters of rising growth, even though the overall market was declining and margins squeezed, despite this, revenue rose and costs reduced, EBITDA and Net profit increased by high double digits, EBITDA growth is now one of the highest in its region. In Q1 2021 the business achieved the number one position in country for NPS.
A radical turnaround led by a new and diverse leadership team created dramatic results
Things were not going to plan
Following launch and for a number of years, this particular business, an operating country of a larger group, never achieved its potential and was a market laggard. An experienced interim CEO was brought in with a mandate to fix the business and build a new leadership team, including his own replacement.
After an initial stabilisation period, selecting a new leadership team (CEO, CFO and CMO) was mandated to KWR. The business needed new external hires with diverse operating experience, all previous leaders had been internal transfers from other international operating countries but all had limited international experience beyond their home country and brought a playbook from other markets where the company was in a dominant position, in this market, the business was a challenger with strong competition, internal transfers repeating their playbook was not working.
What to do now?
Working with the interim CEO, KWR produced shortlists for each leadership role within 4-6 weeks, all candidates were known, heavily pre-referenced, had exceptional career achievements and possessed high performance potential as well as cultural compatibility. Each successful candidate was headhunted from different countries and regions.
All selected candidates received highly competitive counter offers by their employers and all declined these to join KWR’s client.
Results
While the in-country market size declined by 5%, the business increased market share by over 6%.
While reducing and optimizing costs the business achieved exceptional levels of growth (all during COVID restrictions), CAGR rose to 15%, EBITDA reached 35%, Net Profit rose to an all-time high of over 30%
To date, the long-term achievements of the new team are eight quarters of rising growth, even though the overall market was declining and margins squeezed, despite this, revenue rose and costs reduced, EBITDA and Net profit increased by high double digits, EBITDA growth is now one of the highest in its region. In Q1 2021 the business achieved the number one position in country for NPS.
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