Growth
strategy
A.
Initial Assessment: Quick Scan of strategy and market
opportunities
A security services
provider needed help to grow its services business. The
company recognized that it could not execute the growth
plan without outside help. It was not able to grow
independently. The services business was not profitable.
The services product provider had a plan to increase its
security services revenue to $1b from a base of $50mln
within five years.
B.
Approach
•
Analysis of security services opportunities and competitive
position
• Development of growth plan for security services
• Proposal for security services portfolio (new
product development)
• Mapping of security services applications within
overall enterprise application architecture of clients
• Design of target skill sets required for delivering
security services
• Scanning and screening of potential acquisition
candidates
• Creation of list of potential acquisition targets
• Implementation: Coaching of executives on necessary
actions
C.
Recommendations
•
Buy and build strategy for their services business unit
• Acquisition of best in class security services
companies
• Change in incentive and compensation system for
service and/or sales account manager
• Hiring of additional executives, with a background
in services
• Development of new security services portfolios
• Development of new training plans to upgrade
employee skill sets
D.
Results
Based
upon analysis of key financial metrics for a three year
period the following results were identified.
• A fivefold (500%) increase in revenues within six
months. This was achieved through three additional
acquisitions and increased organic growth
• Buy and build starting platform to reach $1b service
revenue objective within five years
• The Service business become profitable. The
forecasts showed profitability for the following five, even
with the recent acquisitions and associated integration
costs