A portfolio company in the food and ingredients industry needed help assessing the viability of integrating three distinct supply chains. They were looking for a supply chain diligence provider with industry expertise.
The Challenge
Consolidating Supply Chains
The client had two food platforms and was in the early stages of putting them together. They also had a third business they were considering integrating for human capital synergies. They had three distinct supply chains for various ingredients, all of which were outsourced. They needed to assess the viability of integrating them to identify potential opportunities for cost savings, operational efficiencies and a competitive advantage.
How BluWave Helped
Synergies Found in Supply Chain
BluWave presented the client with multiple industry-specific resources in less than a business day, including operations consulting firms with expertise in the food/snacking/ingredients space. The client engaged one of the recommended service providers, who conducted a thorough supply chain diligence assessment.
The service provider assessed the sustainability and scalability of the client’s three distinct supply chains, which included co-manufacturers in the US, Mexico, and Canada. They evaluated the potential synergies and opportunities for integration and identified areas of potential cost savings and operational efficiencies.
The Result
Expectations Exceeded
The supply chain diligence assessment provided the client with a clear understanding of how they could integrate their three distinct supply chains. The service provider’s deliverables and reports were high-quality and exceeded the client’s expectations. They were flexible and responsive to the client’s needs and provided valuable insights into potential opportunities for cost savings and operational efficiencies.
Data consolidation is the process of gathering data from various sources and storing it in a centralized location. This can be done manually or using data integration tools.
The purpose of data consolidation is to improve data quality, increase data security and facilitate data analysis. In this article, we will discuss the benefits and challenges of data consolidation, the process involved and the tools and software available to help.
We’ll also cover best practices and emphasize the importance of having an industry-specific service provider to assist you. This complicated process often goes much smoother when you have expert assistance for your specific industry.
This is where BluWave comes in, with their ability to connect you with just the right resource for your unique situation.
One of the main benefits of data consolidation is improved decision-making. By providing a more complete and accurate view of the data, businesses can make better decisions based on data-driven insights. Data consolidation can also increase efficiency by eliminating the need to manually collect and manage data from multiple sources. Additionally, it can reduce costs by eliminating the need to maintain multiple data storage systems.
Data consolidation presents challenges. One of the biggest is ensuring data quality. Data consolidation can only be successful if the data being consolidated is accurate, clean and reliable. Additionally, data security is a concern, as consolidating data can increase the risk of data breaches. It is important to implement security measures to protect data during and after consolidation. Finally, data consolidation can be a costly process, especially if it is done manually. It is important to carefully consider the costs and benefits of data consolidation before making a decision.
The process can be broken down into the following steps:
Identifying the data sources: The first step in data consolidation is to identify all of the data sources that need to be consolidated. This can include data from internal systems, external sources, and even social media.
Transforming the data: Once the data sources have been identified, the next step is to transform the data. This may involve cleaning up the data, converting it to a common format, or filling in missing data.
Loading the data into a central repository: Now it’s time to load the data into a central repository. This can be a data warehouse, a data mart, or even a spreadsheet.
Securing the data: It’s also important to secure the data. This may involve implementing security measures such as encryption, access controls, and auditing.
Maintaining the data: The final step in data consolidation is to maintain the data. This means updating the data, correcting errors, and purging old data.
Data consolidation can be a complex process, but it can be a valuable tool. By consolidating data, businesses can improve quality, increase security, and make it easier to analyze.
Data integration tools are used to extract data from disparate sources and load it into a central repository. These tools can help improve data quality by cleaning up the data, converting it to a common format, and filling in missing data.
Data warehouse tools are used to store and manage large amounts of data. These tools can help businesses analyze data and make better decisions.
Data mart tools are used to store and manage a subset of data from a data warehouse. These tools can be used to improve data access and performance.
Data visualization tools provide a single view of data from multiple sources. These tools can help businesses make better decisions by providing them with a more complete and accurate view of their data.
The choice of data consolidation tool or software will depend on the specific needs of the business. Factors to consider include the size of the data, the complexity of the data, and the budget.
Plan carefully. Before starting data consolidation, it’s important to have a plan. This should include:
The goals of data consolidation
The data sources
The tools and technologies that will be used
The budget for data consolidation
The timeline for data consolidation
Use the right tools. There are a variety of tools and technologies available. The right ones will depend on the size and complexity of your data, as well as your budget.
Get buy-in from stakeholders. Data consolidation is a major project that will impact many people in your organization. It’s important to get buy-in from stakeholders early on in the process. This will help to ensure that everyone is on board with the goals of data consolidation and that the project is successful.
Test thoroughly. Once you have a plan in place and you’ve chosen the right tools, it’s important to test the data consolidation process thoroughly. This will help to identify any potential problems and ensure that the data is accurate and complete.
Monitor and maintain the data. Finally, it’s important to monitor and maintain the data. This will help ensure that the data is accurate and up-to-date. It’s also important to have a plan for how to handle changes to the data sources.
Navigating the complexities of data consolidation can be challenging, but you don’t have to do it alone. BluWave can help by connecting you with expert third-party resources that make the process more efficient and effective.
The Business Builders’ Network is is full of pre-vetted service providers with experience in data consolidation, data integration and data management. The invite-only process ensures that we only connect you with providers that have a proven track record in your specific industry.
By partnering with BluWave to find the right third-party resource, you can streamline your data consolidation efforts and reduce the risks associated with the process. Theteam will work closely with you to understand your specific needs and goals, and then connect you with the best provider to help you achieve them.
Efficient B2B debt collection practices are essential for maintaining a healthy cash flow and ensuring the growth of a business. In today’s competitive market, many organizations offer generous terms on accounts payable to win over customers.
This approach, however, may not always be sustainable, especially given changing trends and future concerns.
Let’s talk about the importance of B2B debt collection strategies and how partnering with a specialized consultant can lead to improved cash flow and business growth.
Offering generous terms to customers may seem like a good idea initially, but it can lead to a significant increase in outstanding debts and negatively impact cash flow. As the business landscape evolves, there’s a growing need to develop more effective B2B debt recovery strategies to keep the company financially stable.
Some of the key challenges include:
Lack of Communication
One of the biggest challenges in B2B debt collection is a lack of communication between the business (creditor) and the client (debtor). This can be due to a number of factors, such as the debtor’s unwillingness to cooperate or the creditor’s failure to follow up promptly.
Complex Legal Issues
B2B debt collection can also be complicated by complex legal issues. For example, if the debtor is located in a different state or country, the creditor may need to follow different laws and regulations.
Time-Consuming and Expensive
B2B debt collection can be a time-consuming and expensive process. This is because it often requires multiple phone calls, emails and letters. In some cases, the creditor may also need to hire a collection agency or file a lawsuit.
Despite these challenges, there are a number of steps creditors can take to improve their chances of collecting unpaid debts.
Establishing Clear Payment Terms
One of the best ways to prevent B2B debt collection problems is to establish clear payment terms with customers. This should include the due date, any late fees and the process for disputing charges.
Following Up Promptly
If a customer misses a payment, it’s important to follow up promptly. This shows the customer that you’re serious about collecting the debt and that you’re not going to let it go unpaid.
Being Professional and Respectful
It’s important to be professional and respectful when dealing with customers who owe money. This means avoiding threats or harassment.
Using a Collection Agency
If you’ve tried everything else and you’re still not able to collect the debt, you may want to consider hiring a collection agency. They are trained experts who can help you recover your money more quickly and efficiently.
Working with a B2B debt collection agency can provide numerous benefits. These agencies bring expertise in B2B debt recovery, helping your business develop customized strategies and solutions tailored to your unique needs. Additionally, they have access to advanced tools and technology that can improve the efficiency and effectiveness of your debt collection efforts.
Here are some more specifics around why using an agency is a good idea:
Increased Recovery Rates
Debt collection agencies have a proven track record of recovering debts. In fact, studies have shown that businesses that hire a collection agency are more likely to recover their debts than those that try to collect the debts themselves.
Reduced Stress and Workload
By hiring an expert third party, you can free up your time and resources to focus on other aspects of your business.
Improved Cash Flow
When you recover unpaid debts, you can improve your cash flow and avoid financial problems.
Protection from Legal Liability
Debt collection agencies are familiar with the laws and regulations governing debt collection. This means that you can be confident that they will collect your debts in a legal and ethical manner.
Peace of Mind
Knowing that your debts are in the hands of a professional collection agency can give you peace of mind. You can focus on running your business, knowing that your debts are being handled by a qualified and experienced team.
Steps to Develop an Effective B2B Debt Collection Strategy
Analyzing Current Collection Efforts (1-2 weeks)
The first step in developing a new B2B debt collection strategy is to thoroughly analyze your current efforts. This analysis should identify areas of improvement and evaluate existing customer payment terms. Understanding where you stand in terms of your current collection practices will provide a solid foundation for developing a more effective approach.
Designing a New Collection Strategy (3-4 weeks)
Once you have a clear understanding of your current collection efforts, it’s time to design a new strategy. This process should include setting clear credit policies and terms, implementing a proactive approach to collections and utilizing technology and automation.
Setting clear credit policies and terms can help prevent potential issues down the line. For example, establishing a standard credit application process and conducting credit checks on potential customers can minimize the risk of late payments and defaults. Additionally, offering early payment incentives and enforcing late payment penalties can encourage customers to pay their invoices on time.
A proactive approach to B2B collections means staying on top of outstanding debts and addressing them before they become problematic. This can involve sending regular payment reminders, maintaining open communication with customers, and monitoring their payment history to identify potential risks.
Utilizing technology and automation in your B2B debt collection efforts can streamline the process and save valuable time and resources. For example, using an invoicing software that automatically sends reminders and tracks payments can help you stay organized and improve your overall collection efforts.
Implementing a new B2B debt collection strategy may require training and support to ensure a smooth integration with your existing processes. A B2B debt collection agency can help with this, allowing your team adapt to the new strategy and ensure its success.
When choosing a B2B debt collection agency, look for one that specializes in your industry and has a proven track record of success. This will ensure that they understand the unique challenges you face and can provide tailored solutions to address your specific needs.
Transparent Pricing and Fees
A reputable B2B debt collection agency should be transparent about their pricing and fees. Make sure you understand their fee structure and any additional costs that may be involved before signing a contract.
Proven Track Record and Client Testimonials
Before deciding on a B2B debt collection agency, research their track record and client testimonials. Positive feedback from other businesses in your industry can provide valuable insight into the agency’s effectiveness and reliability.
The invite-only BluWave-grade network of service providers only admits resources that have successfully completed multiple positive projects with positive reviews from PE firms, portfolio companies and private and public companies.
Investing in a robust B2B debt collection strategy is essential for the financial health and growth of your business. BluWave’s dedicated Research and Operations team can help you connect with an expert third-party resource to fine-tune your approach to B2B collections, addressing your unique needs and challenges.
Taking the time to analyze your current efforts, design a new strategy and consider implementation support can set your business on the path to improved cash flow and financial stability. BluWave’s R&O team already knows a tailor B2B debt collection consultant with industry specialization, transparent pricing and a proven track record for your exact situation.
Don’t let uncollected debts hold your business back. Begin your journey towards a more effective B2B debt collection strategy today with the help of BluWave’s expert resources, and experience the difference that a PE-grade approach can make for your business.
Government contracts are highly competitive and can be difficult to secure without the right expertise. Outsourcing support from legal experts can give companies a strategic advantage, increasing chances of winning lucrative projects.
External consultants offer valuable experience in managing large teams and responding to complex RFPs, working with diverse teams and agencies and developing a winning strategy.
In addition, experienced legal services can help identify untapped opportunities or ideas, handle increased workload during peak proposal periods and offer guidance for high-value contracts.
Let’s take a closer look at what goes into outsourcing contracts as well as the benefits of doing so.
Why Companies Outsource Proposal Support
Organizations have various motivations for outsourcing their proposal support. Here are some of the most common reasons:
Experience with Managing Large Teams or RFPs
Outsourcing can provide access to professionals with extensive experience in managing large teams and responding to complex requests for proposals (RFPs), enhancing the overall quality of the proposal.
Experience with Diverse Teams and Agencies
External consultants may possess valuable expertise in working with diverse teams or specific government agencies, increasing the likelihood of a successful proposal submission.
For companies venturing into higher-dollar contract territory, outsourcing to experienced professionals can offer critical insights and guidance.
Identifying Overlooked Opportunities
An outside perspective can help identify untapped opportunities or ideas that might otherwise be missed.
Handling Surge Demands
Outsourcing can alleviate the strain of increased workload during peak proposal periods, ensuring that the quality of the proposal remains high.
Developing a Winning Strategy
An external consultant can provide an unbiased assessment of opportunities and help develop a strategy that maximizes the chances of winning the contract.
There are three high-level phases to proposal outsourcing: Pre-Proposal, Proposal, and Post-Proposal.
Pre-Proposal
This phase includes proposal strategy assessment, process training and the development of a proposal boilerplate structure and content.
Service providers may also create a repository of proposal content components to streamline the process at this point.
Proposal
During this phase, the third party manages the individual RFP, request for quotes (RFQ) and request for information (RFI) bid/no-bid process. They also handle RFP/RFQ/RFI response management and documentation structure and content development.
Post-Proposal
Finally, the outside resource you hire should conduct a thorough review of lessons learned, update the content repository and prepares for any presentations that might be involved in the process.
To navigate the world of government contracting effectively, it is essential to understand key terms:
Broad Agency Announcement (BAA)
A formal process used to request a range of products and services through an evaluation process, potentially resulting in multiple awardees.
Request for Information (RFI)
A semi-formal process for conducting a market evaluation, which does not obligate the government to generate an RFP, RFQ or make a purchase.
Request for Proposal (RFP)
A formal government process for purchasing products and services through a comprehensive evaluation process that typically includes technical, management and pricing components.
A formal government process for purchasing products and services on a price basis, which generally has narrowly defined requirements for providers to respond with short descriptions and pricing.
Small Business Innovative Research Program (SBIR)
A program funding small businesses research on defined topics, administered by individual agencies.
Sources Sought
The market research phase of the government procurement cycle, similar to the RFI process. From this step, the government can assess the types of businesses who may be able to meet their requirements and can determine if there is sufficient competition for small business set-aside.
Landing lucrative government contracts is a competitive endeavor. Whether for a private equity firm, portfolio company or private or public company, this is a topic where the right expertise can be just the edge you need.
The Business Builders’ Network is full of handpicked service providers than can help you with this exact challenge.
The BluWave research and operations team knows the best fit for your legal services before you even contact them, and they’ll make introductions within a single business day.
Colocation services provide businesses with the space, power, cooling and security required to host their IT equipment in a data center. Colo security providers offer a wide range of services tailored to the requirements of organizations of all sizes, from small businesses that may need only a few server racks to large enterprises that require entire data halls.
With cybersecurity as important as ever, it pays to work with information technology experts who can help store and manage your data. Specialized third-party service providers know how to do exactly that, no matter your company’s size or industry.
Let’s talk in more detail about what colocation security is, as well as its benefits.
Improved uptime and reliability: To ensure that your data is always available, colocation data centers have implemented security measures against physical threats, as well as redundant power and cooling systems. This can result in improved uptime for your IT infrastructure.
Reduced costs: Colo services are also a great way to lower costs as it’s much more affordable than building and maintaining your own data center. Colocation providers have economies of scale that you can benefit from.
Improved security: Colocation providers have a strong focus on security, with strict physical and environmental security measures in place, protecting your most sensitive data from unauthorized access, theft or damage.
Enhanced performance: You’ll also tap into high-speed networks and other resources that can improve the performance of your IT systems. This can be important for businesses that need to process large amounts of data or that need to provide high-availability services.
Greater flexibility: Scale your IT infrastructure up or down as needed, so you can easily accommodate changes in your business. Businesses that are growing rapidly or that are facing seasonal fluctuations in demand will find this especially helpful.
Improved compliance: Experienced providers often have experience working with businesses in regulated industries, and they can help you to meet your compliance requirements.
Access to expertise: Each provider’s experts can help you to manage your IT infrastructure. This can free up your internal IT staff to focus on more important projects, such as developing new products or services.
Peace of mind: Knowing that your data is safe and secure in a colocation data center can set your mind at ease. That way, you can focus on running your business without worrying about your IT infrastructure and sensitive data.
By colocating your IT equipment in a colocation facility, you can ensure that your data and applications are always available, even in the event of a disaster. Colocation facilities have redundant power and cooling systems, as well as security measures in place to protect against physical threats. This can help to ensure that your data is always available, even if your primary data center is unavailable.
Compliance
Many industries, such as financial services and healthcare, are subject to strict compliance regulations. By colocating your IT equipment in a colocation facility, you can ensure that your data is being stored and managed in accordance with these regulations.
Colocation providers often have experience working with businesses in regulated industries, and they can help you to meet compliance requirements.
Data Protection
Colocation can help you to protect your data from unauthorized access, theft or damage. Colocation facilities have strict physical and environmental security measures in place, such as 24/7 security guards, video surveillance and fire suppression systems.
Colocation facilities are located all over the world, in major cities and data center hubs. Some of the most popular locations for colocation facilities include:
North America: The United States and Canada are home to some of the largest and most reliable colocation facilities in the world. Major cities in North America with a high concentration of colocation facilities include:
Europe: Europe is another major market for colocation facilities. Major cities in Europe with a high concentration of colocation facilities include:
London
Frankfurt
Paris
Amsterdam
Dublin
Asia: Asia is a rapidly growing market for colocation facilities. Major cities in Asia with a high concentration of colocation facilities include:
Beijing
Shanghai
Hong Kong
Singapore
Tokyo
When choosing a colocation facility, it is important to consider the following factors:
Location: The location of the colocation facility is important for both performance and security. You want to choose a facility that is located in a low-risk area with access to high-speed networks.
Security: The security of the colocation facility is critical. You want to choose a facility that has strong physical and environmental security measures in place.
Uptime: The uptime of the colocation facility is important for your business. You want to choose a facility that has a high uptime guarantee.
Cost: The cost of colocation can vary depending on the size of your equipment, the level of services you need and the location of the facility. You want to choose a facility that fits your budget.
What is the Difference Between Cloud and Colocation?
Cloud computing and colocation are both viable options for hosting your IT infrastructure. Cloud computing can offer scalability, cost-effectiveness, and reliability, while colocation can offer more control, dedicated environments and high availability.
Ownership and Control
With cloud computing, you don’t own the physical hardware or infrastructure that runs your applications. Instead, you rely on the cloud provider to manage and maintain the underlying technology.
With colocation, on the other hand, you own and control the servers and other hardware that run your applications. This can give you more control and flexibility over your IT environment, but also requires more management and maintenance from your team.
Scalability
While both cloud and colocation can be scalable, the process is different. With cloud computing, you can easily add or remove resources as needed by adjusting your subscription or service plan with the provider. With colocation, you need to physically add or remove servers and equipment as needed, which can take more time and resources.
While cloud computing can be more cost-effective than traditional on-premises infrastructure, it’s important to note that costs can vary widely depending on your usage, the services you choose and the provider you use.
With colocation, you pay for the space and power your equipment uses, as well as any additional services like security or maintenance. Over time, the costs of colocation can add up, especially if you need to invest in additional hardware or infrastructure.
Security and Compliance
Both cloud and colocation providers offer high levels of security and compliance, but the responsibility for maintaining that security is different. With cloud computing, the provider is responsible for securing the underlying infrastructure, while you are responsible for securing your applications and data.
With colo security, you are responsible for both the hardware and the applications, which can give you more control, but also requires more resources.
Ultimately, the choice between cloud and colocation will depend on your business’s specific situation. A dedicated third-party resource can be a valuable asset as you consider the pros and cons of each.
This is the most common type of colocation, where a company rents space in a data center to house its own servers and equipment. The organization is responsible for the hardware, software and security of its systems.
Wholesale Colocation
A company leases an entire data center or a portion of a data center. The company is responsible for the hardware, software and security of its systems.
Hybrid Colocation
This is a combination of retail and wholesale colocation. The company leases space in a data center to house its own servers and equipment, but the colocation provider also provides some of the services, such as power, cooling and security.
Managed Colocation
The colocation provider also manages the customer’s servers and equipment. This can be a good option for businesses that do not have the resources or expertise to manage their own IT infrastructure.
Carrier-Neutral Colocation
This type of colocation facility offers connections to multiple telecommunications providers, making it ideal for businesses that require high levels of network connectivity and redundancy.
Edge Colocation
This type brings the data center closer to end-users by placing it in smaller, more distributed locations. This can improve latency and reduce network congestion for applications that require real-time processing.
Containerized Colocation
IT equipment is placed in shipping containers that can be transported easily and deployed quickly in different locations. This can be useful for businesses with dynamic infrastructure requirements, such as those in the events or construction industries.
A colo rack is a specialized cabinet or enclosure designed to house servers and other IT equipment within a colocation facility.
Typically, colo racks are either 42U or 47U in height and come in either an open-frame or enclosed design. While open-frame racks are more affordable, enclosed racks provide a more secure environment for IT equipment.
Colocation racks often come with additional features such as power distribution units (PDUs), cable management systems and security features such as locks and security cameras.
When choosing a colocation facility, it’s essential to select a colo rack that meets your specific situation. Your choice depends on your IT equipment’s size, your budget and your security requirements.
Larger colo racks are more expensive but can provide more space for your equipment. On the other hand, smaller racks may be a better fit for smaller businesses with less equipment or lower budgets. Additionally, you must consider security features to protect your IT equipment from unauthorized access.
Our latest quarterly insights report showed that cybersecurity continues to be a top priority for private equity firms and their portfolio companies. Private and public companies are also investing heavily in this area.
With so much at stake, many companies are turning to expertly matched third-party resources to walk them through colo security services. Our research and operations team works hand-in-hand with the top cybersecurity firms in industries including healthcare, manufacturing, technology and more.
When you’re ready to connect with a niche-specific provider to explore and enhance your colocation security strategy, we’ll be ready to make tailor-made introductions within a single business day.
Are you a business leader looking to take your organization to the next level? Are you struggling to find the right structure to support your growth? If so, you’re not alone.
Many companies struggle with org chart planning, but it’s a critical step in any successful growth strategy.
Let’s explore the benefits of org chart planning and how a senior advisor or consultant can help you create a structure that supports your growth goals.
Org chart planning is the process of designing an organizational structure that aligns with your business goals. This includes determining the roles and responsibilities of each employee, as well as the reporting relationships between them. A well-designed org chart can help you streamline your operations, improve communication, and increase efficiency.
The Benefits of Org Chart Planning
Improved clarity and accountability: By clearly defining roles and responsibilities, a well-designed org chart can improve clarity and accountability. This prevents confusion and overlap, while ensuring that everyone knows their job.
Better communication and collaboration: The right org chart can improve communication and collaboration by breaking down silos and displaying how different teams and departments interact.
Increased efficiency and productivity: Streamlining procedures and processes can increase efficiency and productivity, saving both time and resources while improving work quality.
Greater adaptability to changing business needs: Flexibility is key in today’s rapidly changing business environment. The right structure design can help your company adapt to changing needs.
Increased employee satisfaction: Org chart planning also gives employees a clear understanding of their role and provides them with the necessary resources to succeed. This can cause greater motivation and productivity.
Creating an effective org chart requires experience and expertise in organizational design. This is where a senior advisor or consultant can be invaluable. A senior advisor with COO/management experience can help you:
Improve your current org chart and identify areas for improvement: An experienced consultant can thoroughly analyze your structure, ensure that it is efficient and align it with business goals. They can also detect any overlapping roles or confusion to eliminate redundancy.
Design a new org chart that aligns with your growth goals: A management pro can identify key areas of focus and design a structure that supports them, creating a flexible org chart that accommodates future growth.
Ensure your org chart supports your company culture and values: An expert in organizational design can analyze your current structure and identifying discrepancies with your mission, vision and values. They can then make sure your updated org chart accurately reflects those priorities.
Guide you on implementing the new org chart and managing change: A skilled advisor can help you communicate the new org chart to your employees and manage the transition process, including addressing any concerns or resistance. Strong communication and the ability to address employee questions and concerns is key.
Manage the transition process: An experienced change management professional identify potential challenges and develop a plan to address them. They can also track the progress of the transition and make any necessary adjustments.
Effective org chart planning requires a strategic approach.
Having a clear understanding of your growth goals: Before you begin designing your org chart, you need to have a clear understanding of your growth goals. What do you want to achieve in the next year, three years, five years? Once you know your goals, you can begin to design a structure that will help you achieve them.
Identifying key areas of focus: Once you know your growth goals, you need to identify your business’s key areas of focus. These are the areas where you will need to allocate the most resources in order to achieve your goals. For example, if you are planning to expand into a new market, you will need to allocate resources to marketing and sales.
Allocating resources to support your key areas of focus: Once you have identified your key areas of focus, you need to allocate resources to support them. This means hiring the right people, providing them with the training they need, and giving them the tools and resources they need to be successful.
Creating a Structure for Growth
Your org chart should be designed to support your growth strategy.
Create a scalable structure: Your org chart should be designed in a way that allows you to add new employees and departments as your business grows. This may mean creating a flatter structure with fewer levels of management, or it may mean creating a more decentralized structure with more autonomy for individual teams. There is not, however, a magic bullet for this step.
Build in flexibility: It should also be flexible enough to adapt to changing business needs. This may mean creating cross-functional teams that can work together on projects that cut across traditional departmental boundaries. It may also mean reorganizing to better align with your growth strategy.
Regularly review your org chart: Don’t set it in stone. It is important to regularly review your org chart to make sure that it is still aligned with your top KPIs and while remaining flexible enough to adapt to changing needs.
Org chart planning is a critical step in any successful growth strategy. By creating a structure that aligns with your business goals, you can improve communication, increase efficiency and build a foundation for future growth.
Private equity firms often seek outside help to reorganize their portfolio companies, but private and public organizations can also reap the benefits of a niche-specific senior advisor.
Our research and operations team knows the exact resource you need before you ever contact us, and they’re ready to connect you in less than 24 hours. Reach out now to tap into the invite-only Business Builders’ Network that’s already helped thousands or companies like yours with growth strategy.
Artificial intelligence (AI) has emerged as a powerful tool for data analytics in the business world.
AI-driven analytics is the use of artificial intelligence and machine learning techniques to analyze and interpret data. It involves the application of algorithms that can learn from data, identify patterns and make predictions or recommendations based on that analysis.
It’s also a way for organizations and businesses to unlock insights and make decisions faster and more accurately than traditional methods.
“When people are thinking about AI, they’re thinking about the sentient robots that play Go and talk to you,” says Mike Datus* of AI Business Analytics, one of our trusted Business Intelligence & Analyticsservice providers. “Then there’s this other part of the world which is ‘business’ AI or machine learning, which is really using mathematical models to predict things and find really deep patterns.”
Let’s explore the benefits of AI for business intelligence and analytics, the tools available and the role of AI data analysts in modern organizations.
AI Analytics vs. Traditional Analytics
Traditional analytics methods involve using statistical techniques to analyze historical data and identify trends and patterns. But they also have limitations in processing and analyzing large and complex data sets.
In contrast, AI analytics methods can process massive amounts of data in real-time, identify complex patterns and make accurate predictions.
“I think this is something where when we talk about it, the CEOs’ ears perk up,” says Steve Holms, also of AI Business Analytics. “Either because that’s something they thought about, but they thought it was just out of reach, or they’re just like, ‘Oh, I never thought you could do that.’”
These tools, and many others like them, use machine learning algorithms and statistical models to analyze data and provide insights. They also offer features such as natural language processing, data visualization and predictive modeling. They can help organizations improve their decision-making, streamline processes and gain a competitive advantage.
Some of them are proprietary, and only available when you work with an innovative third party.
Datus recalls a food industry client they worked with that reduced shrinkage by 7.5 percent year-over-year.
“What they were traditionally doing was somebody was doing a spreadsheet calculation and looking at the last month and saying, ‘OK, we’re going to do what we did last month,’” Datus says. “But that doesn’t always make sense, because people like making hotdogs in the summer and not in the winter, right? So with an AI model that predicts how much chicken or some food people will want, you can get those numbers dialed in more tightly in simulation.”
“They make widgets for training doctors and nurses to do hospital procedures,” says Datus. “Because the method before was very traditional, not using advanced mathematics, it could be wildly off, and very often it would get overridden by people’s emotions.”
By giving the AI tools a chance, the medical firm boosted revenue by 5 percent for the year.
Lead scoring is one example of how AI analytics can help businesses prioritize their leads and focus on the most promising ones.“How can we help you stack rank all the leads so you can basically work your most promising leads? How do you be more efficient with your sales team?” Holms says.
AI analytics can predict which leads are more likely to convert and provide personalized recommendations to sales teams.
Churn prediction is another example of how AI analytics can help businesses retain their customers.
“What if we can tell you which one of your customers are likely to unsubscribe in the next three months?” Holms says. “Maybe your customer success team should focus on those right away, right? Because it’s a lot easier to prevent a churn than to, once they churn, try to get them back as a customer.”
Demand forecasting is also an essential area where AI analytics can help businesses. By analyzing historical data and market trends, AI analytics can predict future demand and help businesses optimize their inventory and procurement processes. This can lead to significant cost savings and improve operational efficiency.
Datus recalls a time when a skeptical CEO they worked with gave their AI model an opportunity.
“We deployed the AI model, and it predicted a massive spike in demand in the near future. The CEO said, “You know what, I’ll swallow the inventory cost, but let’s produce up to what this AI model says.’ It turns out that spike that the AI model predicted gave them another 5 percent revenue for that year,” Datus says. So that’s the power of these things. If you give it the right data and you build it the right way, it can be more accurate and less biased than traditional analytics.”
An AI data analyst is a professional who uses AI analytics tools and techniques to extract insights from data. They are responsible for analyzing large and complex data sets, developing predictive models and providing recommendations to decision-makers.
AI data analysts should have a strong understanding of machine learning algorithms, statistical modeling and data visualization. They should also have excellent problem-solving skills and the ability to communicate complex ideas to non-technical stakeholders.
AI Business Analytics is just one of the expertly vetted resources that make up the invite-only Business Builders’ Network.
Our research and operations team is ready to connect your PE firm, portfolio company, or private or public company to a niche-specific third party that can help you get up to speed with a artificial intelligence business analytics.
Whether healthcare, manufacturing, technology, retail or any other data-driven industry we know the resources you need before you even contact us.
*Privacy is important to us. While the source and company name have been changed, these are real quotations from a real service provider in the BluWave Business Builders’ Network.
Every quarter our team analyzes the projects we work on with our 500+ PE firm clients to get a bird’s eye view of the market. We recently compiled our Q1 2023 findings into our BluWave Insights Report. You can request your copy and our client coverage team will be in touch.
Key findings from Q1 ’23 include:
Value creation activity is at an all-time high, matching Q1 2022.
Human capital remains PE’s primary area of focus at 45% of all Q1 activity, also matching an all-time high.
Technology remains a priority at 11% of all Q1 PE activity.
From a high-level point of view, there are four steps to the machine tool financing process.
1. Apply
You apply for financing from an institution. Whether you’re seeking a few thousand dollars, or millions upon millions, this is the first step.
2. Get Approved
After the financial institution reviews your application, hopefully you’re approved to receive the funds. Some banks allow for pre-approval, which speeds the process.
3. Review and Sign Finance Agreement
After you have the financial institution’s go-ahead for your manufacturing financing, they’ll send you terms to review. If both sides agree, you can sign the papers and move to the crucial last step.
4. Funds Disbursed
Once the ink is dry, the bank should finalize the transaction by giving you the money. Now it’s time to purchase that new equipment to finance your business.
That’s a simplified summary. The actual process is a bit more complicated.
The Business Builders’ Network has expert third-party resources who can advise you in this crucial MFR process. Whether you’re in glass, construction, textile and apparel, chemicals, electronics, steel, refrigeration, pharmaceuticals or one of many other industrial businesses, we already know an exact-fit service provider to help you through this process, and grow your business.
Before we connect with expert help from the invite-only network, here’s a more detailed look at manufacturing equipment financing, whether you’re looking to loan or lease.
Equipment Loans: Manufacturing Industry
Whether you need a a single piece of equipment, or you want to rapidly expand your fast-growing fleet, machine tool financing can speed up that process.
Less complicated pieces of equipment may only cost a few thousand dollars, and these may be a good candidate for an SBA loan.
But if your ask meets a minimum threshold – usually around $250,000–500,000 – firms are likely to require you to share tax returns and/or audited financial statements.
Depending on a number of factors, a financial institution may be willing to lend you tens of millions of dollars to make your purchases.
Typical loan terms could range from 24-84 months. (That is, 2–7 years.) This will depend on how much money you need, how long you need to pay it back and how willing the bank is to work with you.
Rates
You may be able to find interest rates under 4 percent for machine tool financing, but it’s likely to increase from there.
Larger, more complicated machinery finance options may not be so straightforward. The approval process could depend on both sides’ availability, as well as all the CNC finance rate factors mentioned above.
What Credit Score is Needed to Finance Heavy Equipment?
This will depend on the lender. Some require a credit score around 500, while others are more stringent, asking for 650 or higher.
Which type of finance should be used to purchase new machines & equipment?
SBA Loans
An SBA loan is a loan backed by the Small Business Administration. The SBA sets guidelines for loans made by its partnering lenders, community development organizations and micro-lending institutions. These loans are often used by small businesses to start or expand their operations.
If you’re not a small business, you may seek a more traditional CNC finance option. Namely, a loan that is made by a bank or other financial institution. This type of loan can be used by a manufacturing business to purchase new machines and equipment.
Metalworking machines: Used for cutting, shaping, and forming metal, metalworking machines include lathes, mills, and presses.
Plastics processing machines: Melting, molding, and shaping plastics are possible with plastics processing machines such as injection molding machines, blow molding machines, and extrusion machines.
Woodworking machines: Sawing, planing, and sanding are all achievable with woodworking machines like saws, planers, and sanders.
Textile machines: Fabrics can be spun, woven, and knit with textile machines, including spinning jennies, looms, and knitting machines.
Food processing machines: Mixing, grinding, and baking food are all tasks performed by food processing machines such as mixers, grinders, and ovens.
Chemical processing machines: Mixing, heating, and cooling chemicals are possible with chemical processing machines including reactors, distillation columns, and evaporators.
Power generation equipment: Generators, turbines, and solar panels are examples of power generation equipment used to produce electricity.
Machine tools: Lathes, mills, and drills are among the types of machine tools used to manufacture other machines.
Conveyors: Manufacturing facilities use conveyors to move materials around the facility.
Warehousing equipment: Forklifts, pallet jacks, and conveyors are examples of warehousing equipment used to store and move materials within a warehouse.
Packaging equipment: For packaging products for shipping, equipment such as shrink wrap machines, tape guns, and labelers are used.
Testing equipment: To test the quality of products, tensile strength testers, hardness testers, and vibration testers are some examples of testing equipment used.
Laboratory equipment: Microscopes, centrifuges, and ovens are some examples of laboratory equipment used to conduct scientific experiments.
Vertical centers: Parts that are vertical in orientation can be machined with vertical centers.
Horizontal centers: Horizontal centers are used to machine parts that are horizontal in orientation.
5-axis centers: Machining parts that require 5-axis machining can be accomplished with 5-axis centers.
Lathes: Cylindrical parts can be turned using lathes.
Excavators: Excavators are machines used for excavating soil and other materials.
CNC Swiss turning: Small diameter materials can be turned using this type of CNC machining.
Bobcat: Bobcats are small, all-terrain vehicles used for a variety of tasks, including construction, landscaping, and snow removal.
Horizontal boring mills: Boring holes in horizontal surfaces is possible with horizontal boring mills.
Metrology (CMM): The dimensions of parts can be measured using metrology (CMM) equipment.
Multi-axis turn/milling: Multiple axes can be used to turn and mill parts using this type of CNC machining.
CNC milling machines: Parts can be milled using CNC milling machines.
Tractors: Tractors are used for a variety of tasks, including agriculture, construction, and landscaping.
CNC turning centers: Turning parts can be accomplished using CNC turning centers.
CNC grinding machines: Parts can be ground using CNC grinding machines.
CNC routers: CNC routers are used to cut and shape parts.
Welding: Metal pieces can be joined together by melting and fusing the metal through the process of welding.
Forklifts: Heavy objects can be lifted and moved using forklifts.
Racking: A system of shelves and supports used for storing goods is called racking.
Packaging: The process of enclosing goods in a protective covering for storage or shipping.
Machine Manufacturer Brands
Here are a few of the companies that make this type of manufacturing equipment.
There are businesses that lease new as well as used equipment.
Types of Leases
There are two main types of manufacturing equipment leasing: operating leases and finance leases.
The most common type of manufacturing equipment leasing is called an operating lease. This type of lease allows the company leasing the equipment to make monthly payments to the leasing company in exchange for the use of the equipment. At the end of the lease term, the lessee does not own the equipment, but they may have the option to purchase it for an agreed-upon price.
Finance leases differ from operating leases in that the lessee must purchase the equipment at the end of the lease term, which allows the lessee to accumulate equity in the equipment while leasing it.
With leasing, you don’t own the equipment. This can be a good thing if you’re not sure how long you’ll need the equipment or if you don’t want to be responsible for its maintenance. Leasing companies typically offer maintenance and repair services, which can save you time and money.
Leasing can be more affordable than borrowing money. This is because leasing companies typically factor in the depreciation of the equipment when they calculate your monthly payments.
Leasing can be easier to qualify for than a loan. This is because leasing companies don’t require you to have a good credit score
Tax deductible: The payments on a manufacturing equipment lease may be tax deductible, depending on the type of equipment and the terms of the lease. This can save you money on your taxes.
Smaller monthly payments: Leasing can often result in smaller monthly payments than purchasing equipment outright. This can free up cash flow for other business expenses.
Buy-out option: Many leasing agreements include a buy-out option, which allows you to purchase the equipment at the end of the lease term for a pre-agreed-upon price. This can be a good option if you decide that you want to keep the equipment after the lease term is up.
Variety of equipment options: Leasing companies offer a wide variety of equipment options to choose from. This means that you can find the equipment that you need for your business, regardless of your budget.
Whether you’re a private equity company working on value creation in your portfolio company, or you’re at a private or public company that’s ready to expand, our research and operations team is here to help.
The third parties in the Business Builders’ Network know whether you need to loan or lease, as well as all the best institutions to help you with the process.
They’ll also work with you to maximize value creation as you take this important step to grow your business. If you’re ready to take the next step, contact us to get connected to exact-fit service providers in less than one business day.
A sales process workflow is a systematic and visual representation of the stages and activities involved in the sales process. It outlines the sequence of steps from identifying leads to closing deals and post-sale follow-up.
The primary goal of a sales process workflow is to provide a clear roadmap for the sales team to follow, improve their performance, reduce errors and be more efficient.
It can also help identify bottlenecks or areas where the process can be improved. A well-designed sales process workflow ensures that every opportunity is properly managed, tracked and nurtured to maximize potential.
Let’s discuss the different components of a sales process workflow and provide guidance on how to develop and optimize a sales process that works for your business.
Overview of Sales Process Workflow
A sales process workflow is a structured approach to selling that outlines the steps involved in closing a sale. It typically includes four key stages: research, prospecting, sales call and close, and relationship-building. By having a well-defined sales process, sales reps can spend more time on activities that drive revenue and less time on non-productive tasks.
The first step in developing a sales process workflow is to gather input from your sales reps and stakeholders. This can include feedback on the current sales process, as well as suggestions for improvements.
Once you have this input, you can begin mapping out the workflow. This involves identifying the key stages of the process and determining the criteria for moving prospects through the pipeline.
When mapping out your sales process workflow, it’s important to consider the different stages of the buyer’s journey. This can include the research stage, where the prospect is gathering information about your product or service, the prospecting stage, where the sales rep is reaching out to the prospect, and the sales call and close stage, where the sales rep is working to close the deal.
Each stage should have clear criteria for moving the prospect through the pipeline, such as a certain level of engagement or likelihood to convert.
Lead categorization is the process of organizing your leads based on their level of engagement and likelihood to convert. This can include categorizing leads as hot, warm, or cold, based on their level of interest in your product or service.
This step allows you to prioritize your sales efforts and focus on the leads that are most likely to convert.
There are different pipeline methodologies that you can use to structure your sales process workflow. The traditional sales funnel is a popular approach, where prospects move through the funnel from awareness to consideration to decision.
The more modern flywheel approach focuses on creating a continuous cycle of attracting, engaging and delighting customers. Each approach has its benefits and drawbacks, and it’s important to choose the approach that works best for your business.
Working with an experienced third party that’s familiar with your industry can be a great way to build the most efficient pipeline for your particular business.
Tracking metrics is an important part of optimizing your sales process workflow. Key metrics that should be tracked include conversion rates, time-to-close and customer lifetime value.
By analyzing these metrics, you can identify areas for improvement and optimize your sales process for maximum effectiveness.
If your sales process workflow is not working effectively, it may be time for a redesign. This involves identifying bottlenecks and areas for improvement, testing new processes and iterating until the process is optimized.
It’s important to involve your sales reps and stakeholders in this process to ensure that the new process is effective and sustainable.
The BluWave-grade service providers in the Business Builders’ Network are equipped to help businesses with this exact process, whether you work in healthcare, manufacturing, technology or other sectors.
Training and coaching are important aspects of implementing a sales process workflow. Sales reps should be provided with the tools and resources they need to be successful, including training on the sales process, product knowledge and objection handling.
Ongoing coaching and feedback can help to improve performance and ensure that the sales process is being followed effectively.
Depending on your situation, an interim CFO may be just the person you need to get set the tone internally and chart a strong path forward for your sales team.
Technology can play an important role in optimizing your sales process workflow. This can include tools for lead generation, sales enablement and CRM software. It’s important to choose the right technology for your business and to integrate different technologies for optimal results.
Evaluating and optimizing your sales process workflow is critical to getting the most out of your business. Whether you’re a private or public company, or a private equity firm working with a portfolio company, getting expert third-party guidance can be a fast track to success.
You don’t have to be a private equity firm to use PE-grade resources. Every service provider in the Business Builders’ Network has been vetted and approved by multiple PE firms.
