Commercial assessment and growth guidance for North Lanarkshire Industries
Overview
North Lanarkshire Industries was a well-established local authority enterprise, largely dealing in upcycled furniture and repairs. Employing 40 people, a review of the enterprise’s commercial viability was required, alongside a plan to make it self-sustainable within two years.
Brief
North Lanarkshire Industries was wholly owned by North Lanarkshire Council, as part of their housing and property services. Despite its ownership, the enterprise operated as an autonomous company, with its own employees and board who were responsible for the company’s strategic direction.
CJM Lumina delivered a comprehensive report which delicately balanced the organisation’s needs to be commercially viable against the social value it delivered through its ongoing operation.
Delivery
Our report focused on three main building blocks for growth, which gave North Lanarkshire Industries a clear roadmap to break even within the next few years. These were:
- To utilise a solid North Lanarkshire public sector contracts foundation to deliver public procurement contracts within other local authority areas and public sector care facilities. Despite having a lower sales price this would fill the current spare capacity, lowering overall costs and improving break even and potential surplus opportunity.
- To focus on a marketing campaign directed to Scottish based third sector organisations that are in care, residential facilities, and support facilities (for example homeless, rehabilitation).
- To develop a culture which is more commercially focused, and targeted on developing this highly competent workforce. This would be implemented without losing the social objectives that remain at the core of the enterprise.
Results
As well as the report, we provided tangible actions and takeaways to secure the future of the business, including the recommendation that a pricing review be carried out, investment be sought, and that the organisation curates a profit-focused and cost-conscious culture.
Testimonial
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I had 3 of my staff on your webinar this morning
. I was listening in and I have to say this has been one of the best training sessions I have ever heard.
Once they got in their heads to use what you were saying in our business lots of things clicked.
And a lot of what you said they were all saying 'that's what you say to us' so thank you for concreting that I give them good advise and training.