Case study - Restructuring a failed IT merger
Two IT services companies merged in 2014. After three CEOs in two and a half years, the combined company needed restructuring and reorganising.
- Client
- A European IT services company
- Service
- Integration and Turnaround
- Sector
- Technology
- Led by
- Branka Dessens
- Year
- 2014
The task
Branka was hired as CEO to restructure and reorganise the company and return it to profitability.
Result
The company was turned around in two years with no additional funding, with an outlook of a 110% EBITDA increase on the previous year.
What we did
- Redefined the strategy around the value proposition and positioning, and brought the focus back to core activities, including selling the optical fibre assets.
- Turned an internally focused company back towards customers and sales.
- Reorganised operational and internal resources to improve efficiency and reduce cost.
- Built an opex reduction plan; the main projects were reducing the team and consolidating seven data centres into one.
- Acquired and integrated a cyber security firm as part of a buy-and-build strategy to strengthen cyber security services.
- Designed and ran a cost reduction programme covering the fibre divestment, the integration of IT platforms and the data centre consolidation.
- Renewed the market and value proposition through that acquisition.
- To turnaround, no new funding
- 2 years
- Data centres consolidated
- 7 → 1
- EBITDA increase outlook
- 110%
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