Successful corporate restructuring

The Challenge

A family-owned manufacturing company with over 40 years of history found itself at a critical crossroads. Its organizational structure, designed in the 1980s for a local market, had become entirely inadequate for the challenges of a globalized environment. Lines of responsibility overlapped, decision-making was slow, and profitability was eroding quarter after quarter.

The second generation, recently joining the leadership team, faced the challenge of modernizing the business without losing the values and culture that had made it successful for decades. Resistance to change among middle management and the lack of clear management indicators complicated any attempt at internal reform.

Our Approach

We began with a comprehensive corporate governance and operations audit, identifying bottlenecks and structural redundancies. We designed a new organizational chart based on business units with operational autonomy and accountability for results, eliminating three unnecessary hierarchical levels.

In parallel, we implemented a change management program that included training for middle management, the definition of departmental KPIs, and a balanced scorecard. The process was executed in three staggered two-month phases, allowing changes to be absorbed progressively and minimizing operational disruption.

Results

Within six months, the company achieved a 35% improvement in operational efficiency as measured by output per employee, and a 22% reduction in structural costs through the elimination of redundancies and process optimization. The new corporate governance structure also facilitated the effective integration of the second generation into strategic decision-making.