Manufacturing Case Study 1 – Made to Measure

“Made to Measure”


1. Horus Consulting
2. Maldon, Essex
3. 2005/06


The business is a global leader in online measurement and is the subsidiary of a large PLC. The current Finance Director did not get on with the Vice President of Finance and several key metrics were missed. As a result the Finance Director resigned.

The purpose of the assignment was to:

  1. Significantly reduce the debtor days (a major concern for the group)
  2. Ensure complete and accurate monthly reporting (deadlines had been missed and error levels had increased)
  3. Restore confidence in the Maldon Finance Team


Following an initial meeting with the Vice President of Finance and a brief handover from the departing Finance Director an action plan was drawn up.

The team role analysis revealed that the finance department were good individually but unable to work as a team. The Management Accountant was technically strong and a good source of knowledge, purchase ledger just required management and guidance, but the issue was poor credit control, quality issues and a culture of blame between manufacturing, quality and finance.


  1. Weekly meetings were held between finance, quality and manufacturing to target the reasons on why customers were not paying their debts.
  2. Regular discussions with staff and clear direction
  3. Map out the existing process, review the constraints and blockages, analyse what is needed by whom?
  4. Talk to people in all areas of the business – sales, operations, quality and manufacturing to ensure issues were resolved

Other issues were looked at during this time as confidence in the finance team grew: – for example an incentive scheme for sales staff, sales and procurement strategy and unexpected tax issues.


  1. Debtor days reduced from 66 to 50 , scrap rates fell and working capital increased
  2. Improvement in morale, leading to less mistakes and willingness to undertake new ideas
  3. New improved management pack providing local management with KPI’s relevant to them