top of page

OPERATIONS DUE DILIGENCE

"We help you to put your investment theses on a solid and fact-based foundation."

WHY OPERATIONS DUE DILIGENCE MATTERS

It is recognized by investors and corporate executives that successful transactions only start with a full understanding of historical run-rates and results as well as a review and evaluation of the projected business plan. No matter if it is a merger, acquisition, divestiture or carve-out, any deal requires careful analysis as well as an experienced team to identify the real levers to create sustainable value.

 

Thorough and thoughtful Operational Due Diligence provides many advantages with regards to the investment process and the post-acquisition value creation, e.g.

 

  • Better substantiated investment theses - reduced risk in investment decision

  • Higher commitment and trust of the management team post-acquisition if Operational Due Diligence has been run in a thorough and professional manner

  • 'Real' understanding of improvement leavers along all axes (growth, cost, cash, but also the enablers people, systems, timing)

  • Enabling a kick-start of the Value Creation Plan development

 

eswecon Consulting's assists its clients in analysing functional and departmental processes, focused on supply chain and back-office operations e.g., customer service and controlling & accounting. 

From our fact-based analysis, we identify and quantify potential EBITDA and working capital improvement opportunities as the basis for "Day One Plans", "First 100 Day Plans" and "Full Potential Plans" with typically 3-5 years planning horizon (including hands-on performance improvement support).

We work seamlessly with the providers of the Commercial and Financial Due Diligence to provide a holistic view of the transaction opportunity.

Our Operational Due Diligence services include:
 
  • Business Plan Review

  • Operational and Financial Planning Review

  • SG&A Review

  • Working Capital Assessment

  • Manufacturing and Operations Evaluation

  • Supply Chain Operations Diligence

  • Procurement and Supply (Chain) Review

  • Merger and Acquisition Planning / PMI's

  • Divestiture & Carve-Out Planning

  • Technology Capability

  • Capex / Investment Review

  • Sales & Marketing Effectiveness Assessment

     

Our comprehensive Operational Due Diligence methodology and tools provide deep insight into the following investment considerations:
 
  • Gaining a comprehensive understanding of a target's operations and the underlying processes, the cost base and Capex requirements

  • Identifying performance gaps and potential improvement opportunities (e.g., cost reduction and/or revenue enhancement)

  • Assessing potential carve-out issues and associated costs

  • Identifying and/or challenging potential synergies

  • Providing insights on key deal issues – including quantifying key opportunities and risks

  • Assessing the organization's readiness for change and therefore create deeper and more detailed insight regarding the critical path for implementation (timing, communication, potential downwards adjustment of savings)

bottom of page