Family-Owned Steel Manufacturer

Phoenix conducts an operational assessment for a family-owned steel manufacturer resulting in increased plant efficiencies and reduced labor costs.

The Client

A  $140 million family-owned Steel Manufacturing and Service Center based in Michigan.

The Challenge

Due to the decline in the U.S. auto market, the Company was experiencing substantial operating losses. Additional complications included family management transitions, weak financial management, inefficient union operations, a highly leveraged plant expansion and lost support from its lenders.

The Solution

Phoenix Management Services conducted an operational assessment and assisted management in reinvigorating the three unions involved in this situation. As a result, plant efficiencies increased, overtime problems decreased, and labor costs were reduced. Phoenix also managed the liquidation of obsolete inventory. Finally, Phoenix restructured the Company’s debt, and the Company ultimately returned to sustained profitability.

Phoenix Turnaround

Primary Industry

  • Manufacturing

Secondary Industry

  • Metal Products

    Primary Services

  • Turnaround ManagementBusiness / Operational AssessmentsProfit / Operational Improvement