TriVista Identifies $8M of EBITDA Opportunities and $8.5M of Cash Improvements

The Challenge:

A $1B Private Equity fund was interested in acquiring a $300M manufacturer of cosmetic displays and retained the services of TriVista to conduct a standard Quality of Operations™ Due Diligence.

Our Approach

To thoroughly understand the target company’s business and operations, TriVista engaged in the following activities:

• Conducted an operational & capacity review to understand future requirements and recommendations
• Led a detailed review of existing processes and important project timelines
• Analyzed sales, inventory and current order planning process
• Performed a detailed assessment of company’s quality systems and continuous improvement processes
• Benchmarked material pricing to market indices
• Evaluated the firm’s sourcing strategy
• Assessed the status of their historical acquisition and realization of operational and cost synergies

The Results

TriVista was able to identify approximately $8M of EBITDA that could be achieved by developing Lean initiatives, implementing a best-in-class Sales, Inventory, Operations and Planning (SIOP) process, and improving the sourcing process. In addition, TriVista identified over $8.5M of cash improvements through the establishment of a robust demand planning process with enhanced scheduling and forecasting.