A division of a publicly traded company that is a GSA-approved manufacturer of custom armored vehicles for the US Federal Departments of State, Defense, Homeland Security as well as other state and federal agencies. These custom vehicles are built for a variety of specialized purposes including: assault, SWAT rapid deployment, prisoner transport, bomb squad, crime scene, executive transport and cash-in-transit.The armored division contributed $25 million in sales.
• The Company had lost money in each of the prior two fiscal years and was EBITDA negative in the prior year.
• Working with management, Fort Dearborn developed a comprehensive operating plan, including strategies and tactics, designed to stabilize the Company and return it to profitability.
• Key strategic initiatives included:
• Implementing immediate expense reductions including a reduction in force.
• Enacting immediate price increases.
• Drawing on FDP’s experience with dealerships, implemented a strategic price increases on truck bodies, parts and service labor.
• Recommending a plant consolidation strategy.
• Initiating Continuous Improvement efforts and processes to capture shop floor costs in order to improve product costing and increase margin.
• Identifying and effecting a key management change in the sales and marketing function.
• Improved leadership and direction; revised pricing approach/strategy; reduced sales rep authority to offer discounts; revised commission structure.
• Identified and implemented $5 million in annualized profit improvement measures.
• The Operating Plan was presented to and approved by the Board of Directors, including key strategic initiatives such as implementing a plant consolidation strategy.
• Stabilized the Company and its existing bank relationship.