Fire Protection Co.
I would like to commend the assistance provided by your organization to Fire Protection Co., over the course of the last year and particularly the work done by your senior consultant, Vincent Orlando.
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 a labor 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 measurable goals to provide direction and required activities needed to achieve a predetermined profit level.
- Implemented a tight forward looking cash flow projection for improved timing of payouts versus cash in.
- Set clear goals for revenue 10% over 2016 for 2017 and pretax profit with our Predetermined Profit Plan.
- 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 labor and equipment utilization and drive actual to estimated labor and equipment hours down.
- Developed a pay for performance system for FY 2017 that will make the achievement of the company’s financial goals beneficial to both the company and its employee participants in the future.(to be implemented at a future date)
Assuming that our personnel continue to implement the programs, we expect the work described above to yield incremental operating profit to our company of between $3 million to $5.5 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.
Very truly yours,
Chuck Hrebic, President & CEO
Fire Protection Co.
12828 S Ridgeway Ave
Alsip, IL 60803-1529