Construction Equipment Dealer and Supplies Retailer

Company Overview

Construction Equipment Dealer - The Company is a full service construction equipment dealership carrying several brands and also sells, rents and services used heavy construction power equipment.

Construction Supplies Retailer – The Company sells a full line of construction related supplies through multiple retail locations.

Engagement Overview
•  Fort Dearborn Partners was engaged to help the Company improve cash flow and profitability. 


•  FDP created and analyzed the Company’s first profitability analysis by line of business and by key customer.

•  Through FDP’s strategic and operational assessments, several changes were identified and implemented including:
•  Restructuring of the senior management team and their respective responsibilities
•  Selective price increases
•  Inventory reduction
•  Divestiture of underperforming assets
•  Enhanced cash management and credit policies
•  Design & implementation of the Company’s first sales commission plan
•  Improved data quality, reporting and operational analysis.
By implementing the tactical plan developed by Fort Dearborn in conjunction with Company management, the Company returned to sustainable profitability:
  • Revenues improved by 5%, and
  • Profitability increased by $1.8 million