After a detailed and rigorous assessment of each of the businesses and their major competitors, a comprehensive financial review and an assessment of the drivers of future market profitability, PA identified which of the businesses had the potential to create value and, importantly, which did not and which were at highest risk.
This diagnosis has since proven remarkably accurate. Following an assessment of the way that the Group interacted with its component businesses, we concluded that the highest value option was a separation of two key parts of the business, coupled with a change in parenting style to drive cost-reduction aggressively from the centre -- we identified $100m per annum of potential for cost reduction, which has subsequently been realised.
To find out more about our work in this area, contact us.