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Eagle’s Eye #1

pillarsHello, this is Bryan Eagle, Managing Partner of Eagle Consultancy International (EagleCI). I would like to welcome you to a new discussion thread, “The Eagle’s Eye”, where I will dig a little deeper into the essence of my consulting approach. I will share some insights and anecdotes from my experience and welcome your comments and discussion. I will endeavor to read your comments timely and post to the blog as appropriate.

The theme of The Eagle’s Eye is Sustainable Wealth Creation. My assertion is the purpose of manufacturing organizations in a market economy is to make a profit. There are exceptions, of course, in non-market economies where manufacturing can be set up as a way to provide employment and income to large numbers of people and/or to provide goods and services needed to society without a profit motive. Whereas some elements of the EagleCI approach are relevant to such situations, this is not the focus of this thread.

Some may argue that manufacturing companies should have goals other than wealth creation, and I agree. Those who espouse the “triple bottom line” view argue that manufacturers must be equally concerned with the sustainability of their operations and their impact on the community as they are to shareholder returns they generate, a notion to which I also subscribe. However, my thesis is that without profitability, a manufacturing company will have no resources to invest in community support, environmental protection, employee well being and responsible citizenry to society.

Thus, regardless of how altruistic the orientation of the enterprise, wealth creation is the essential foundation to the long-term success of any manufacturing enterprise in a market economy. The profits of the enterprise can be then used for any number of endeavors, socially beneficial or not, but without profit the organization will cease to exist and will be of no use whatsoever.

My intention in this blog is to therefore lay out the essence of enterprise profitability. I do not plan to go deep into economic theories or more esoteric analysis, but rather look at the factory as a wealth creating machine in a very practical sense. Given that long term success requires the creation of wealth, how can a manufacturing enterprise increase its profitability?

Our Mission at EagleCI is to “equip Russian and CIS manufacturing enterprises to achieve excellence in their principles, practices and performance through cultural transformation.” In subsequent posts, I will step readers through the:
• Principles that lay the foundation of sustainable wealth creation
• Practices that enhance the wealth creating capability of the enterprise
• Performance that can be achieved when the right principles and practices are in place, in contrast to that achieved when they are absent.

I look forward to starting this journey with you!
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Eagle Consultancy International Successfully Completes Ecolab Integration Program in Russia – 2013

Ecolab, Inc. retained Eagle Consultancy International to lead the Integration PMO for their Russian operations in June, 2013. These included the Russian subsidiaries of parent company Ecolab, Nalco (US based multinational acquired in 2011), Champion Technologies (US based multinational acquired in 2013) and Master Chemicals (Russian company acquired in 2013).

As explained by Dave Keil, Vice President, Enterprise Excellence of Ecolab, Inc.

“We needed robust program management and leadership skills to effect the integration of three acquired companies in Russia – two multinationals and one local. Bryan Eagle brought the needed qualities to this process. He brought strong leadership of the integration team with his organization, process focus and coaching abilities. He demonstrated a tenacious, creative and results oriented approach to the inevitable challenges and setbacks of the program.

Bryan’s breadth of knowledge and deep experience with integration in Russia was critical to achieving our integration objectives efficiently and on budget. His strong values and ethics were evident in the accountability and integrity he brought to his own work and that of the integration team. He effectively communicated to keep stakeholders informed and engaged, and escalated issues to senior management when necessary.

Based on the performance for Ecolab, I would strongly endorse Eagle Consultancy International to other companies needing to integrate acquisitions or manage other complex business programs.”

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Eagle Consultancy International chosen by Ecolab Russia for business integration program – 2013

Eagle Consultancy International has entered into an agreement with Ecolab to provide program management services for business integration of their Russian operations. The scope includes the integration of four Russian entities merged into one corporate parent, including Finance and Risk Management, Human Resources, Supply Chain, IT/ERP, Communications, Branding and Legal Entity Structure.

Vaclav Harant, Vice President and General Manager of Russia and CIS, Ecolab said, “We are very pleased to engage Eagle Consultancy International in this integration program. The opportunities for growth in the Russian market are substantial for our company and we expect the integration to provide a stable platform for scalable growth while maintaining our excellent customer service and business operations. We are confident Eagle Consultancy International has the experience and processes to successfully accomplish our objectives for this integration.”

Bryan Eagle, Managing Partner of Eagle Consultancy International said, “We are very excited to be partnering with this dynamic, expanding organization in Russia. It is an honor to be selected by Ecolab to create a successful outcome for such a challenging and important project.”
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How the Aluminum Market Works Conference presented by Platts – 2013

In June 2013, ECI Managing Partner delivered an analysis of a training seminar for metals market publisher Platts. Here is what the customer had to say about the work…

Commendation from Platts

Can’t say enough good things about the work Bryan Eagle did for me. I engaged Bryan to observe and analyze a project I was developing. The final written analysis I received from Bryan blew me away. He understood the project perfectly. His business background and breadth of industrial knowledge was exhibited throughout the report with spot on analysis, key insights and strategic and tactical recommendations for changes and improvements that I can’t wait to implement. I highly recommend you sit down with Bryan and have a conversation!

Preston L. Gibson
Head of Global Training
PLATTS.

The ECI Advantage

All ECI consultants have demonstrated hands-on success with cultural and business transformation experience in multiple projects in manufacturing companies in Russia and the CIS, Europe, the Americas and Asia.

Our consultants offer the following key competencies to your enterprise:
• General Management / Leadership
• Business Processes – Human Resources, Engineering, Sales and Marketing, Finance, Procurement, Logistics, Compliance and Project Management
• Operations Management – Lean Manufacturing and Total Productive Maintenance

Case Study of Cultural Transformation enabling Manufacturing Excellence in Russia

Our consulting team collaborated on the successful cultural transformation and turnaround of the operational and financial performance of two large Russian aluminum fabrication plants acquired by a US based multinational. These plants were previously state owned manufacturing enterprises with 50 years of history in their operating culture.

The work started with a thorough analysis of the current state of the enterprises. Significant reorganization and retraining of the workforce was required to improve the principles of the business. Simultaneously, world class operating practices, processes and systems were introduced and deployed with consistent follow through until they became sustainable practices.

Our team worked together with management of the acquired business to create dramatic financial and operational performance improvement in the enterprises which greatly increased the value of the acquisition to the parent company. Representative results include the simultaneous achievement of the following over the first three years of the acquisition integration:

• Increased profitability by 8.3% of revenue.
• Decreased headcount by 44%.
• Increased revenue by 104%.
• Achieved best in class employee engagement.
• Implemented lean manufacturing principles in business and manufacturing processes.

Local leadership of the businesses were successfully coached and developed to sustain and further advance the performance of the enterprises. Today the businesses operate at world class performance with 100% Russian management..

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