The question of management efficiency was raised in front of the Оwner of an international corporation... SUCCESS
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An investor from Israel made an attempt entering the Russian market
Situation A corporation from Israel looked for an opportunity running some business at the Russian market. The strategy was based on establishing partnership in cooperation with the local specialized company. The local executive claimed to have 49 per cent of shares in the common business. The Israel part would offer to the local executive partner no more than 24 per cent of shares in the common business.
Task The task was to negotiate the business terms and conditions and to run the first cooperation project.
Achievements A Proxy was NOT invited to attend the negotiation. As a result, the Heads did not meet the agreement because they had not covered all the predictable results of the negotiation. The deal fell through.
Results The Israel investor did not enter the Russian market The Russian corporation did not enter the market of federal logistics and industrial parks development.
Business in telecommunications was sold
Situation At the first negotiation the Buyer offered the priсe of 7 million USD for the business, but the Seller announced: we expected the cost would be at least 15 million USD. The negotiation stopped at this very stage.
Task The task was to sell the business with income on the invested capital (ROI) four times higher and more.
Achievements The PROXY was hired for making the negotiations. The PROXY held more than 10 meetings in clarifying the figures to verify the reasonable price and its adequacy for both the Buyer and the Buyer's analysts. The PROXY prepared the deal structure clear and secure for both parts.
Results The deal was closed at a 14 million USD cost.
Providing report services for the foreign investor
Situation The Russian subsidiary of the international company looked for an appropriate specialist in providing reports according to the Head Office Standard.
Task The task was to create an efficient service of information maintenance and providing reports to the Head Office in the required format.
Achievements The Proxy was hired to automatize the reporting function. The Headquarters got reports in the required format as an automated upload process from the local accounting software ("1C"). As a result, staff service was not necessary.
Results The economy on the operational expenses in the Russian subsidiary has saved more than 100 000 EUR within 3 years.
If you have no confidence
Situation The investor intended to finance a StartUp. There was no confidence that the money would spend according to the project plan.
Task It was necessary to hire a mediator who would constantly keep an eye on the project management and follow investor's interests and would not impede the executives to do their jobs.
Achievements The PROXY was hired to conduct the project with the following functions:
Budgeting, budget control, payment discipline;
Harmonisation of terms and conditions for contract making;
HR administration in accordance with the Russian law.
Results The project was financed and finished with the economy on the budget.
Case Investigation Forensic analysis
Situation The question of management efficiency was raised in front of the Оwner of an international corporation.
Task It was necessary to provide the owner with the evaluation of management efficiency and find the way to improve the common efficiency for the enterprise.
Achievements For this case study the PROXY was hired. The PROXY offered to look at the situation from different perspectives and to compare the company with the market competitor through the process of the possible merger. The evaluation for significant deviation in effectiveness was revealed. The resources were bought at an unreasonable price. The non-correspondence in the price for raw materials and their quantity was disclosed The investigation was carried out and the identifying evidence was obtained.
Results The merger process of the companies was considered as inappropriate. The business processes were changed and recommendations for setting up controlling functions in the corporate information system were provided. The price for construction declined 3 times and the construction speed increased more than 2 times. More than 10 managers interested in non efficient resources maintaining processes were fired. The proof was exhibited to one of the employees to initiate a criminal case. He compensated the loss for more than 2 million EUR.