The four references from the construction company PORR provide an insight into the range of services offered by Management Factory and our long-standing successful collaboration.
The Client:
As one of Europe’s leading construction companies, PORR can draw on over 150 years of experience in planning, development, and execution. With approximately 21,000 employees, the Group generates an annual production output of EUR 6.8 billion. In addition to its core markets of Austria, Germany, Switzerland, Poland, the Czech Republic, Slovakia and Romania, PORR is also active in selected project markets across Europe and in Qatar.
PORR 4 – Establishing a Group-wide M&A Function
The Project
- In addition to organic growth, PORR has for years pursued targeted acquisitions to strengthen its regional presence and expand key strategic capabilities.
- Following a significant increase in M&A activities in 2023, the Group decided to establish a centralized M&A department to coordinate all acquisition and divestment activities across the company.
- Management Factory was entrusted with the interim management of this newly created unit and additionally provided dedicated specialists for M&A transactions and post-merger integration.
Highlights:
- Coordination of over 20 corporate transactions on both the buy- and sell-side.
- Execution of strategic assessments and company valuations, orchestration of due diligence processes, and support in purchase price negotiations and contract structuring.
- Development of a group-wide post-merger integration process and hands-on coordination of integration projects.
PORR 3 –Interim CFO Placement (Czech Republic & Slovakia)
The Project:
- The unforeseeable departure of the CFO responsible for the Czech Republic and Slovakia created the urgent need for a qualified interim replacement.
- Since the recruitment process for a permanent successor was expected to take at least six months, PORR decided to appoint an interim CFO.
- Management Factory was able to quickly identify and propose a suitable candidate based in Prague, and was officially commissioned with the interim assignment in May 2024.
- The handover to the permanent CFO was smoothly completed in November 2024.
Highlights:
- Rapid stabilization of the finance organization in both countries.
- Initiation of a cost optimization program across administrative units, including the definition of savings measures and implementation plans.
- Preparation of the budget with a strong focus on strategic targets and efficiency improvement initiatives.
PORR 2:
The Project:
- Due to the COVID-19 crisis and issues with individual major projects, the PORR Group’s results turned into a loss in 2020. Consequently, the board saw the need to strengthen the group’s operational and commercial management.
- The goal is to improve the group’s EBT margin to 3% of performance in the medium term. Management Factory was tasked with leading the commercial management.
- Key tasks include the operational and commercial management of the PORR Group, the further development of the controlling, reporting, and management system, support for country CEOs, COOs, and CFOs in commercial matters, and ensuring a functional and effective risk management system and organization within the group.
Highlights:
- Improvement of margin situation through enhanced risk management and controlling
- Improved results and competitiveness through reduction of administrative costs
PORR 1:
The Project:
- The difficult economic situation, declining investments by public and private clients, strong competition and the continuous decline in European construction services have prompted the Executive Board of the Porr Group to launch the “fit for future” restructuring and optimization program.
- The aim is to position the company in the first third in terms of costs and earnings compared with the rest of the industry and to reduce the level of debt in the Group.
- Management Factory has been appointed to lead the restructuring program. The cost savings achieved in 2013-2016 significantly improved the Group’s earnings position.
Highlights:
- Massive cost savings in the administrative area and significant improvement in net debt.
- Successful turnaround of the Porr Group