"I would like to commend the assistance provided by your organization to Automatic Drawn Products, Inc., over the course of the last six months and particularly the work done by your Senior Consultant, Phil Martello, and the Group Manager, Arnold LaSpina.

Our company has become focused on performance with the assistance of American Management Services. With the help of your team, we have taken important steps to prepare our company to reach top quartile profitability. We have:

  • Established an estimating dollar rate per hour to produce 10% profit at given conditions and sales levels prior to AMS intervention.
  • Developed a number of job descriptions and specific inspect-able goals to provide direction and required activities needed to achieve a predetermined profit level.
  • Implemented a tight forward looking cash flow projection for improving timing of payouts versus cash in.
  • Set clear goals for revenue ($4.2 million) and pretax profit with our Predetermined Profit Plan ($420 thousand).
  • Established a cost reduction program that will contribute to both profit and on time performance improvement
  • Established accountability among managers and employees through well-defined job descriptions
  • Implemented programs to increase machine utilization and drive actual to estimated machine hours down.
  • Implemented a pay for performance system for FY 2006, FY 2007 and FY 2008 that will make the achievement of the company's financial goals beneficial to both the company and its employee participants.

Assuming that our personnel continue to implement the programs, we expect the work described above to yield incremental operating profit to our company of more than $1.6 million over the next three years, a benefit that far exceeds the cost of the program. Our expectations have been met in an efficient and professional manner and I will be happy to recommend the services of your firm and your consulting team to any prospective client."

Anthony P. Mengarelli
President and Chief Executive Officer