I would like to commend the work and efforts provided by your organization to Tejas Motorsports, LLC over the course of the last five months, and particularly the work of your senior consultant, Bob Lamp, and the group leader, Mike Lockey.
With the help of American Management Services, we have put in place key tools and processes to increase our level of profitability, team performance, and the accountability of our employees. Here are some of the key items that have been implemented:
- We implemented a rolling eight-week cash forecasting process to plan and manage cash flow.
- We completed a thorough review of our labor rates overall shop efficiency, making significant improvements is our scheduling and technician utilization and generating more billable hours.
- We increased our focus on operating performance with new focus on unit sales and upselling parts, accessories, and service.
- We updated our weekly flash report and management meeting additional key operating and performance metrics, allowing us to manage progress toward our targets.
- We developed a functional organization focus to improve our organizational performance and accountability, designating functional area leaders and process owners. Job descriptions including measures of performance were implemented.
- A predetermined profit plan that incorporated our process improvements and actions for profit is in place, allowing us to put strong management focus on achieving our targeted profit. Our monthly financial reviews now include analysis of key variances to our plan and corrective actions. To involve our key employees, we instituted a pay for performance program.
We expect the work described above to produce incremental operating profit to our company of more than $2.534 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 we will be happy to recommend the services of your firm and your consulting team to any prospective client.