{"id":5096,"date":"2025-02-02T06:42:49","date_gmt":"2025-02-02T05:42:49","guid":{"rendered":"https:\/\/www.bm4u.cz\/the-legendary-walmark-how-a-quiet-family-business-was-transformed-into-a-dynamically-managed-private-equity-firm\/"},"modified":"2024-11-13T07:22:59","modified_gmt":"2024-11-13T06:22:59","slug":"the-legendary-walmark-how-a-quiet-family-business-was-transformed-into-a-dynamically-managed-private-equity-firm","status":"publish","type":"post","link":"https:\/\/www.bm4u.cz\/en\/the-legendary-walmark-how-a-quiet-family-business-was-transformed-into-a-dynamically-managed-private-equity-firm\/","title":{"rendered":"The legendary WALMARK: How a quiet family business was transformed into a dynamically managed \u2018private equity\u2019 firm"},"content":{"rendered":"\n

In 2015, the traditional family business WALMARK was transformed<\/strong> into a modernly managed organisation<\/a> aiming for efficient management. At the time, Kate\u0159ina Tom\u00e1\u0161kov\u00e1, current interim manager at BM4U, had just managed the purchase. What obstacles did she face at the time? What strategy did she choose to increase financial efficiency and stabilise<\/a> the company? We will tell you in the following article. <\/strong><\/p>\n\n

\u201cIn 2015, shortly after I joined<\/em> WALMARK, a.s., the founders and co-owners of the company, the Walach brothers, announced the sale of their shares to British investment funds whose representatives made no secret of their potential intention of radical changes and subsequent rapid sale\u201d,<\/em> Kate\u0159ina Tom\u00e1\u0161kov\u00e1 recalls the situation at the time. To clarify, WALMARK, a.s. was a leader on the European food supplement market \u2013 it operated in seven regions (the Czech Republic, Slovakia, Poland, Hungary, Bulgaria and others) and had a production plant in T\u0159inec and a logistics centre in \u010cesk\u00fd T\u011b\u0161\u00edn. <\/p>\n\n

New leadership, new dynamic management<\/strong><\/p>\n\n

A new management team (CEO and CFO)<\/a> joined the formerly family-run company. The team began to ask for accurate corporate-type reporting, strategic planning and better performances, and also examined the current efficiency and possible future operation of the T\u0159inec plant. In addition, all strategic communication began to be conducted at the top management level in English and the company\u2019s headquarters moved from T\u0159inec to Prague. And no one in the company was used to that. \u201cMany employees, even in top positions, grew up here \u2018from school\u2019, had no experience from other companies and were very dependent on the original owners. An atmosphere of high trust, low stress and a long string of business successes did not teach employees to function in a stressful environment, to make decisions, work under pressure and adapt flexibly to new conditions and demands\u201c, <\/em> says the manager.<\/p>\n\n

The intrusion into the comfort zone of most employees was noticeable and caused palpable panic at all levels of the company.\u201cThe internal destabilisation of the company was a risk to the implementation of the planned changes and a loss of unique know-how was looming. The rapid and uncompromising emergence of a new culture paradoxically slowed down overall development and created barriers\u201c, <\/em>adds Kate\u0159ina Tom\u00e1\u0161kov\u00e1.<\/p>\n\n

First steps: Establishment of central purchasing<\/strong><\/p>\n\n

Kate\u0159ina Tom\u00e1\u0161kov\u00e1\u2018s first and most important task in her role as Purchasing Director was to implement central purchasing<\/a>, i.e., the process management of direct and indirect costs across the entire organisation. \u201cUntil then, only raw materials had been purchased centrally. Other costs \u2013 operational, marketing or investment \u2013 were entirely within the remit of the respective country general managers and departmental managers at the production site. And if you limit someone\u2019s powers, it is not a popular step,\u201c <\/em>she adds.<\/strong><\/p>\n\n

So she and her colleagues focused on<\/strong><\/p>\n\n