Newco, Temporary Management, General Management and company’s reorganization

Context: Italian company located in Lombardy, company produces machines for water purification >3 million Euros, number of employees > 10.


  • Presence of experts in the field with ten-year experience who decide to start their own company together with a group leader with a portfolio of contacts without an appointed manager acting as General Manager.
  • Necessity to choose an Asian partner where to move part of the production.
  • Necessity to follow all the phases of the business constitution from the selection of the production site and its equipping based on the company’s needs.
  • Establishment of bank relationships.
  • Establishment of relationships with suppliers.
  • Coordination and direction of the people in charge of the company’s roles.
  • Lack of management control.
  • Need to include a new line to recover financial means of over 2 Mln €.

 Suggested solution 

  • Presence in the company of a Temporary manager acting as General Manager for a period of 18/24 months.
  • Study and draft of the company’s budget, divided into sales, purchase of raw materials, personnel costs, investment budgets.
  • Support to the Client in outlining, developing and managing the specific activities necessary when starting-up a company.
  • For the production area:
  1. Selecting the production site.
  2. Equipping the site according to the company’s necessities
  3. Training activities for all personnel.
  4. Training activities for operators.
  • For the purchasing area:
  1. First contact with suppliers.
  2. Negotiation of the best purchasing conditions.
  3. Digitization of procedures and reduction of paper consumption and paper archives to a minimum.
  • For the IT – Information Technology area:
  1. Inclusion of a management program and implementation of integration procedures of the Supply Chain
  2. Creation of a website.
  3. Insertion of CMR for the customers’ management.
  • For the sales area:
  1. Support to the sales manager.
  2. Assessment of the achievement of the target results.
  3. Constant assessment of the commercial initiatives.
  • For the General Management:
  1. Implementation of the control procedures of customers’ marginality
  2. Reporting with the group leader.
  3. Organization and coordination of both internal and external collaborators.
  4. Definition of the most suitable objectives that will define the bonuses for managers and production personnel.


2 years.

 Results achieved 

  • Production activity was started.
  • Definition of budget and of a three-year plan.
  • Definition of the organization and coordination of the meetings for budget revision, budget revision process and preparation of the revised budgets with relative synthetic comments.
  • Creation of management control.
  • Definition of the reporting activity with the group leader.
  • Selection and definition of the most suitable objectives that will define the bonuses for managers and production personnel.
  • Achievement of the revenue of 3 mln € in two years.
  • Achievement of the positive gross operative margin in 18 months making it possible to close the second fiscal year at break-even.
  • Establishment of bank relationships with a line of credit limit up to 800,000 €.
  • Obtainment of a non-refundable grant of 0.3 Mln €.