P&L Leadership 

CEO, President, and Board Member - Jan 2017  to Oct 2020

Signature Systems Group (Dallas, Texas), Private Equity

​In 2 years, sold company for 5x Multiple of Invested Capital; 8X EBITDA. Continuing with new investors

  • Revenue up 50% to $90M

  • EBITDA up 700% (from 5% to 27%)

  • GM up 300 bps (from 36% to 39%)

  • Debt down by $7M

  • $7M of expansion Capex

  • WC reduced 500 bps (15% to 10%)

  • With only $0.5M SG&A increase

  • Plus building a long-lasting company thru culture, diversification; stronger brand

CEO, President, and Board Member

Horsburgh and Scott (Cleveland, OH), Private Equity owned

$60M industry leader of gearing solutions for steel, mining, and oil and gas

Direct Reports: CFO, COO (Manufacturing, Engineering, Supply Chain, Lean), VP HR, VP Sales.

A PE firm had purchased this company at its peak and at a high premium; LTM EBITDA was $9.5M. The CEO and CFO prior to the transaction were retained.

Within a year, EBIDTA had reached -($7.7M) due to inventory write-downs, operational mismanagement, and market collapse.

A management reshuffle led to the ouster of the Board Chairman,  CEO, CFO, and VP of Manufacturing. I was appointed CEO and drove a turnaround. I renegotiated the Bank loans twice and addressed the investors in PE firm directly asking for time for the turnaround.

 

Results of Turnaround:

  • EBITDA now at $2M / yr and growing

    • Increased pricing 2% to 4% in some product lines, and reduced others, for a net gain in profitability

    • Reduced factory workforce by 40% and implemented cross-training to increase labor efficiency

    • Reduced management staff by 30% resulting in quicker decision and increased role clarity

    • Killed new product programs that had >4 year ROI

    • Disciplined management of variable cost; every key player has monthly targets and is measured by it

    • Rooftop consolidation from 3 to 2

  • Cash:

    • Reduced AR from $5M in 90+ days to avg of $100K

    • DSO reduced by 5 days

    • Generated 13-week cash flows

    • Reduced inventory

    • Extended payment terms to Net 60

  • Operations:

    • Improved On-Time Delivery from 40% to 93% by implementing new scheduling system

  • Orders:

    • Reduced 40% while market fell 70%. Achieved through more effective sales team, adding services business, and diversifying

    • Increased sales efficiency by implementing Salesforce.com CRM

    • Upgraded sales team from all independent agents to mix of upgraded Reps and some direct

    • Launched a comprehensive marketing including new branding, lead generation, new websites, email campaigns

 

Key experiences gained:

  • The essentials of people leadership when a company is in a downturn are more critical than ever. The team needs to be focused and managed

  • Cash is King

  • Personal stamina and passion, especially in a small company, make the difference between success and mediocrity

 

Ametek

I had two P&L roles at Ametek

 

1. Prestolite Motors Business Unit Manager - $15M P&L

Design and manufacture of Hydraulic motors for material handling sold to Tier II and Tier III heavy equipment OEMs.

Reporting to Divisional General Manager

Direct Reports: Sales Managers, Plant Managers, Engineering Managers, Controller

 

Started with a $11M / 8% SP business with US market presence only, factory Mexico; business had declined significantly over the past few years

 

Results after 18 months:

  • Increased gross margin 250 basis points through value engineering, low-cost country sourcing, and price increases

  • Grew top-line 20% in North America, Europe, and China despite market being flat; by implementing disciplined sales process (including salesforce.com) and new product development

  • Reduced Working Capital 2% by reconfiguring sourcing operations

 

How I did it:

  1. At the start, performed business review:

    • Five forces: Competitors not focused on this space. Industry rivalry low, buyer power medium, supplier power low, threat of new entrants low

    • Overall market growth is low single digits; however, tighter regulatory requirements (emissions controls) are forcing manufacturers into replacement cycles

    • Identified a $10M European market; technical requirements are very similar

    • Found that Chinese customers are emerging to threaten the long-established EU and NA ones with significant investments in manufacturing infrastructure and now working on figuring out channel; this change is an opportunity for us

    • Our brand equity was an asset

 

2. Developed financial model showing that a defined investment in engineering and sales resources could yield a significant return

 

3. Actions:

  • First 12 months: Increase base business by targeting high volume OEMs to spread overhead

  • Then diversified to high margin niche markets; placed salespeople in Europe and China; implemented variable comp with margin targets

  • Manufacturing: Developed comparative cost baseline for each factory; launched two large lean work-outs

  • Cost reduction: Several value-engineering projects

  • Diversified into higher margin niche markets and built the brand into number two position globally.

  • Championed breakthrough strategy which increased the division’s profitability by more than 300% over a three-year period by expanding outside the core.

  • 25% engineering throughput increase by implementing Phase Gate Design for Six Sigma
    (DFSS) discipline. Transformed fragmented, underperforming regional teams into an
    energetic global group while turning over 30% of the staff

 

2. Ametek - Closely assisting Div General Manager - $250M P&L

I was one of two close advisors to the Divisional General Manager, working with her very closely on strategy and global execution. I developed the complete annual budget and strategy books; sat beside her in all the operational review with the CEO; contributed to all key personnel assessments; and developed the technology roadmap for her.

 

Keithley Instruments - Senior Market Development Manager

$45M Business Unit of publicly listed $100M manufacturer of electrical test and measurement instrumentation

Reporting to COO

Direct Reports: Controller, Sales, Engineering leaders, Manufacturing leader

  • Turned around declining market share from 8% to 30% in 18 months by refocusing an over budget and behind schedule product development (S600 Parametric tester)

  • Revitalized sales into international markets: Taiwan, China, Japan, and South Korea, Germany.

  • Awarded Company’s highest merit-based salary increase in first 12 months.

  • Led Voice of Customer project to develop a new line of electronics test equipment with unprecedented ease of use. Now it is  Keithley’s primary growth platform.

  • Key customers included Intel, Sharp, Toshiba, TI, IBM, Philips, Siemens, Hyundai, LG

 

At GE (rated Top Talent)

  • Drove 200% improvement in customer inquiry response using Six Sigma.

  • Developed new $50M+ market space in strategic partnership with government.

  • Increased customer loyalty score to be 500% higher than peer business units through strategic multi-level account management.

  • Led cross-business efforts to develop multi-generation product roadmaps.

  • Responsible for strategic marketing, pricing, forecasting, recruitment and training, new product development, mergers and acquisitions, and alliances. Established structured customer intelligence.

 

At Quatech

  • Achieved 70% growth in two years from 12 new products; drove 20% profit increase in legacy products.

  • Reduced product development cycle-time 30% through better project management.

  • Developed engineering team into a customer-focused product development team.

  • Drove 5x increase in leads through internet keyword advertising and re-branding

At Photonics Systems

  • Photonics was the world's pioneer in flat panel display technology (plasma displays). I was part of the development of the world's first large-area flat panel displays.

Samples of my tools and work

Annual planning Budget

 

Leadership Goals and Objectives to Align Top Down

Productivity as a Process