How we support the Corporate and Private Equity markets in
Buyout: M&A: MBO/MBI: Growth Capital: Divestment: Turnaround

Brooklands CG has extensive experience in the support of major, complex investments, recognising the need to deliver high quality pre transaction analysis and vigorous post transaction change.

In the pre transaction stage, we work alongside more conventional financial, commercial and legal due diligence, analysing such critical areas as operational and organisation effectiveness.

We get under the skin of a business, analysing hard and soft issues, finding out what makes a business tick, and critically, its ability to change and deliver the investor’s aspirations. This critical pre transaction element is carried out through detailed Operational and Organisation due diligence.

During the post transaction stage, we actively support management in the delivery of 100/180 day change plans, whether they are centred upon specific changes such as integration, operational improvement or complete turnaround.

Operational and Organisation Due Diligence

What is it?

• All businesses in all sectors have an operation in terms of leadership, strategies, people, structure and organisation, resources, processes, methods and systems.  These are the enablers that produce results
• Brooklands CG focuses on the understanding of the enablers within an organisation
• Operational and Organisation due diligence is the process that identifies the key enablers that can make or break the delivery of the post transaction plan – situation is far more important than sector
• The focus can be on the whole business, or it can be targeted at specific functions or operations of the business, e.g. sales, supply chain, finance, IT and disaster recovery, cost management etc
• It will target certain key enablers that are critical to business performance, e.g. the management of Working Capital
• Another key area is the ability of management to move between cost and cost of sales modes as circumstances dictate – this will help determine the sustainability and scalability of the operation
• It will also address the soft issues, e.g. mood and temperature and what makes the business tick, by taking a bottom up view and getting under the skin of the organisation

Why do it?

• Challenge the business in terms of sustainability and scalability
• Understand critical issues that will need to be addressed early in the post transaction stage
• Understand the scale of the post transaction challenge
• Support management
• Help avoid surprises and anticipate hindsight

How is it carried out?

• Through an informal blend of desk analysis, observation, one-to-one and group meetings, site visits and walking the floor
• By mature consultants with senior line management experience; who understand the issues, know what to look for and can empathise with and support  management during the potentially stressful due diligence processes

What is the added-value?

• A working document adding value by identifying and advising upon:
  • Key elements of the (100/180 day) plan – the must do actions
  • Gaps in action/implementation plans
  • Areas for operational improvement
• Management support through the due diligence process and buy-in to the size of the task ahead
• The ability to hit the ground running on day one of the post transaction phase