The client is a Swedish manufacturing company operating in the Electronics space, with 5 business units in Sweden and 1 in Denmark and Norway, respectively
The client asked Cicero to analyze prerequisites for outsourced LCC production.
Options were green-field establishment, acquisition of existing business or long term partnership with local EMS-provider.
Analysis thereof and corresponding recommendation to be presented to the Board.
The Board would then decide upon the appropriate course to take based on the findings
Thorough analysis of the geographical, infra structural, legal and cost-beneficial facts and conditions.
Mapping and analysis of available options. Thereafter a scrupulous selection process followed by a decision on 1 candidate.
Standard due diligence, negotiations, finance, bank and lawyer discussions, contract negotiations, etc.
Takeover of the business, management issues, competence transfer, global supply aspects, controlling of the business unit, marketing aspects, information and education, etc.
An LCC unit with similarbusiness was bought, and became a well suited tailor made compliment to the Swedish mother factories.
After the acquisition the Swedish unit achieved a far better competitive position compared to earlier.