Operational and Financial Restructuring in times of Covid

Challenge:

During the COVID-19 pandemic, a polyethylene manufacturer faced severe financial and operational challenges, including high costs, low productivity, and excess capacity. Lockdowns and staffing constraints exacerbated the situation, limiting the company’s ability to meet demand and threatening its financial stability.

Action:

In a Board Advisory capacity, we provided critical support by restructuring the company’s operations. Production was optimized by prioritizing the most efficient and profitable products, and the product mix was adjusted to target new market niches. We also secured new funding to stabilize cash flow and implemented a comprehensive financial restructuring plan to ensure long-term sustainability.

Results:

The restructuring successfully reduced costs, increased productivity, and positioned the company to weather the pandemic’s impact. The business secured new markets and funding, ensuring its financial stability and laying the groundwork for future growth.