Case Studies - Engineering


Dairy Joint Venture - Multi-Site closure to enable client to exit UK Manufacturing and re-invest in it's European Operations

Challenge

A European dairy manufacturer had created a UK-Joint Venture (JV), to enable it to penetrate the UK dairy market and gain valuable shelf-space with major UK retailers. The JV owned 2-sites each approximately 8 acres in size, producing a range of own-label, branded and food-service dairy products to several leading UK retailers, with a combined turnover of ~£50m/annum.

With increasing levels of competition, high operating costs and industry over-capacity, the European JV Partner recognised the need to significantly change the operating performance of the business. They decided to terminate production in the UK, ensuring that the remaining operations were adequately profitable to justify long term re-investment for future growth.

Approach

Indigo were appointed as the company of choice to plan, manage and execute the site closures within tight deadlines and budget.

Click here to view CMS' rigorous site-closure process

A collaborative approach between CMS and the JV was taken to implement these closures using cross-functional teams of personnel, led and owned by the local site management and facilitated by CMS. A steering group was also established which ensured that the programme was co-ordinated with other sources of change and met overall corporate objectives. A small group of senior managers from both organisations continued to ensure that there was a level of inherent flexibility and challenge within the project to allow subtle changes in direction driven by unforeseen challenges. This style of implementation helped to ensure that the closure programme was delivered safely, on-time and within budget.

Results

  • Both sites were closed within the agreed period of 7 months.
  • The project was delivered within a strict budget target.

Client Quotes

  • "We chose to work with CMS because we liked their focus on managing all aspects of the closure, from the engagement of employees and Unions, to removal of plant and equipment. It was refreshing to come across a consultancy who truly understood our challenges and supported us realise the results." Cliff Wood, JV Operations Director

Contact:

Mr Craig Brown, Director
+44 (0)7970 279 333
cmsprojects@aol.com

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