財(cái)務(wù)及組織分析報(bào)告課件

C.Financial,organizationandprocessesanalysisSHA-4309-03690-08-15c.PPTC.Financial,organizationC1.FinancialsituationanalysisSHA-4309-03690-08-15c.PPTC1.FinancialsituationanC1.1GeberitShanghaiSHA-4309-03690-08-15c.PPTC1.1GeberitShanghaiSHA-4Presently,GSHAisinseriouscorporatecrisisPhasesofcorporatecrisisWeakStrongPathologyofcrisissymptomsNormativemisfitStrategiccrisisResultscrisisLiquiditycrisisGeberitLowHighBankruptcycrisisBack-upSHA-4309-03690-08-15c.PPTPresently,GSHAisinseriousAllliabilitiesareshorttermandareincreasing4-fold.BytheendofJuly2000,liabilitiesare75%oftotalassetsDevelopmentofliabilities(%oftotalassets)[RMB‘000]13.4%46.4%75%+522%Source:P&LGeberit(Shanghai),RB&PanalysisSHA-4309-03690-08-15c.PPTAllliabilitiesareshorttermCompany'sliquiditysituationisdeteriorating.Currentliabilitiesareincreasingmuchfasterthancurrentassets,thecashinjectionfromtheparentcompanyisusedtocovertherunningexpensesinsteadofbuildingupassetsDevelopmentofliabilities&assets[RMB‘000]CurrentratioQuickratio2.821.710.910.430.620.25CurrentassetsCurrentliabilitiesSource:BalancesheetGeberit(Shanghai),RB&Panalysis+37%+522%SHA-4309-03690-08-15c.PPTCompany'sliquiditysituationThecompany’sinventoryincreasedby91%,whilecurrentassetsincreasedby37%DevelopmentofinventoriesSource:Balancesheet,Geberit(Shanghai),RB&PanalysisCurrentassetstructure

(%ofthecurrentassets)+91%[RMB‘000]44%11%6%11%11%10%7%26%8%18%2%13%9%21%7%4%26%10%10%8%18%8%15%0%15,72014,00711,507RawmaterialsWorkinprogressFinishedgoodsGoodspurchasedforresaleOtherinventoriesTradeaccountsreceivable+37%[RMB‘000]Cash&cashequivalentsOtheraccountsreceivableSHA-4309-03690-08-15c.PPTThecompany’sinventoryincreaDuetohugelosses,thecompanyissolelyfinancedbyinter-companyloans,theliabilitiesincreasemuchfarfasterthanassetsBalancesheetGeberit(Shanghai)1998~2000.7[RMB‘000]Back-up199819992000(1-7)FixedassetsIntangibleassetsOtherprepaidexpensesAdvancedpaymentstosuppliersInventoriesAccountreceivableCash&cashequivalentTotalassetsSharecapitalRetainedearningsNetincomecurrentyearTotalprovisions&deferredrevenuesTotal(liabilities)TotalShareholderCapitals&liabilities18,3185871004,5171,8625,11830,41241,426(5,420)(9,669)0407530,41260.2%1.7%0.0%0.0%14.9%6.1%16.8%100.0%136.2%(17.8%)(31.8%)0.0%13.4%100.0%18,9968725737,2673,6632,97933,09041,426(15,089)(10,177)1,57215,35833,09057.4%0.32%0.1%0.2%22.0%11.1%9.0%100.0%125.2%(45.6%)(30.8%)4.8%46.4%100.0%18,06002343918,6444,0972,35433,78041,426(25,266)(8,293)56325,35033,78053.5%0.0%0.7%1.2%25.6%12.1%7.0%100.0%122.6%(74.8%)(24.6%)1.7%75%100.0%SHA-4309-03690-08-15c.PPTDuetohugelosses,thecompanTheaccumulatedlossestillSeptember2000are86%ofsharecapital.LeftalonethecompanywillbeinsolventbytheendofthisyearNetincomelosses(1997.12~2000.09)[RMB‘000]Source:P&LGeberit(Shanghai),RB&Panalysis86%SHA-4309-03690-08-15c.PPTTheaccumulatedlossestillSeThecompanyhasbeenlosingmoneysincethefoundationofJV,andthelossiscontinuouslyincreasinginspiteoftheincreaseofsales+41%*:estimation199819992000*Source:RolandBerger&Partners‘a(chǎn)nalysisSalesdevelopment

[RMB‘000]Operatinglosses[RMB‘000]+45%SHA-4309-03690-08-15c.PPTThecompanyhasbeenlosingmoMorethan70%ofproductssoldin2000(1-9),includingGeberitlocallyproducedproducts,haveanegativegrossprofitmarginMixtureofproductsold(2000.09)LidaproductsGeberitlocalproducedGeberitimportedGrossprofitmargin2)

(atactualcost)Grossprofitmargin1)

(atstandardcost)+25%+44%-6.93%-7.43%+38%+38%LidaproductGeberitimportedproductsGeberitlocallyproducedproductsSource:Geberit(Shanghai),RolandBerger&Partners’analysis1):Calculatebasedonthefullcapacityutilizationrate(80%~90%)2):Calculatebasedontheactualcapacityutilizationrate(20%~30%)SHA-4309-03690-08-15c.PPTMorethan70%ofproductssoldThedisproportionalincreaseofoperatingexpenseresultsintheincreaseofoperatinglossinspiteoftheimprovementofproductmixSource:P&LGeberit(Shanghai),RolandBerger&Partners’analysis+29%146.9%118.1%130.4%Totaloperatingexpenses1998~2000[RMB‘000]*Estimation%ofsalesSHA-4309-03690-08-15c.PPTThedisproportionalincreaseoAmongthecostofgoodssold,costofmaterialsandlaboraretwomajorcostdriversSource:P&L,Balancesheet,Geberit(Shanghai),RolandBerger&Partners’analysisCostofgoodssold(%ofsales)GSHA1999GSHA2000(1-9)Turnover15.568millionRMB10.514MillionRMBCostofgoodssold12.87MillionRMB(82.66%tosales)9.7millionRMB(92%tosales)StructureofcostofgoodssoldCostofmaterials*LabourcostDepreciationEnergyconsumptionMaintenanceOthers75212493120364856543948%16%8%4%3.6%2.8%2%4%3.3%11%17%54%[RMB‘000][RMB‘000]*note:thematerialscostarethecostofallmaterialspurchased,insteadofmaterialsactuallyconsumed.SHA-4309-03690-08-15c.PPTAmongthecostofgoodssold,Andamongthesalescost,salariesandtravellingaretwomajorcostdrivers.Meanwhile,promotionfeesandstafftrainingcostincreaseSource:P&L,Balancesheet,Geberit(Shanghai)Salescost(%ofsales)GSHA1999GSHA2000(1-9)Turnover15.568millionRMB10.514millionRMBSalescost5.66millionRMB(36.35%toturnover)5.4millionRMB(52.4%toturnover)StructureofsalescostSalaryTravellingcostPromotionfeeRoomrental&parkingCommunicationfeeStafftrainingOthers315897958822129102120%6.2%3.8%0.2%6.6%6.08%1.6%3.4%6%9%26%3.7%5761.4%0.6%269092558235216064626[RMB‘000][RMB‘000]SHA-4309-03690-08-15c.PPTAndamongthesalescost,salaIncreaseoperatingexpensesresultsinincreaseofoperatinglossesinspiteoftheimprovementofsalesBack-upProfit&lossstatementGeberit(Shanghai)1998~2000[RMB‘000]199819992000(1~12)SalesCostofmaterialsGrossprofitpersonnelexpensesEnergy/maintenanceDepreciationMarketingexpensesAdministrationexpensesOtheroperatingexpensesTotaloperatingexpensesOperatingprofit(loss)Netincome10,2194,9385,2486,8101,2361781855,76783615,012(9,764)(9,669)100.0%48.3%51.4%66.65%12.1%1.7%1.8%56.4%8.2%146.9%(95.5%)(94.6%)15,5687,5217,8539,3451,6701,7811,2384,72230718,379(10,526)(10,177)100.0%48.3%50.4%60.0%10.7%11.4%8.0%30.3%2.0%180.1%(67.6%)(65.4%)14,8018,0036,6409,6081,5221,9881,3202,3172,54419,299(13,735)(14,656)100.0%54.35%44.9%64.9%10.3%13.4%8.9%13.7%17.2%130.4%(92.8%)(99.0)%Source:Geberit(Shanghai),RolandBerger&Partners’analysisSHA-4309-03690-08-15c.PPTIncreaseoperatingexpensesreThecompanycannotgenerateenoughcashfrombusinessoperationsanditsolelyreliesonthecontinuouscashinjectionfromtheparentcompanyforsurvivalSource:Cashflow,Geberit(Shanghai)Cashinflowandoutflow,2000(1-6)[RMB‘000]OperatingWorkingcapitalInvestmentCashbeforefinancingIntercompanyloanSHA-4309-03690-08-15c.PPTThecompanycannotgenerateeC1.2.GeberitDaishanSHA-4309-03690-08-15c.PPTC1.2.GeberitDaishanSHA-4GDAI’ssaleshavecontinuouslyimproved,andcostarereducing;theinter-companysalesincreasedmuchfasterthantothirdparty2)Includingwrite-offsforobsoletematerials:1millionRMB&otherunclearaccountsSalesdevelopment

[RMB‘000]Operatinglossesdevelopment

[RMB‘000]1998199920001)+136%+36%1)Estimation199819992)20001)-24%+74%328444517763ThirdpartyInter-companySource:Geberit(Daishan)SHA-4309-03690-08-15c.PPTGDAI’ssaleshavecontinuouslyGDAI’soperatinglossesaredecreasingduetoreductionofcostsSource:P&LGeberit(Daishani)Coststructure[RMB‘000]199819992000(1-9)11%15%10%21%1%4%36%8%12%1%3%23%29%13%3%16%5%29%22%19%16%OtheroperatingexpensesAdministrationMarketingEnergymaintenancePersonnelexpensesCostofmaterialDepreciation10,05814,44411,668359%325%206%%oftotalsalesSHA-4309-03690-08-15c.PPTGDAI’soperatinglossesaredeAsaresultofcostcontrol,operatinglossesarereducinginlinewiththeimprovementofsalesBack-upProfit&lossstatement(GeberitDaishan)

[RMB‘000]SalesCostofmaterialsGrossprofit(loss)personnelexpensesEnergy/maintenanceDepreciationMarketingexpensesAdministrationexpensesOtheroperatingexpensesManagementfeeTotaloperatingexpensesOperatingprofit(loss)Netincome199819992000(1~9)3284(939)2168(4195)(427)(2267)(171)(2422)(1247)0(10729)(-8561)(-8659)100.0%28.6%66.0%127.7%13.0%69.0%5.2%73.8%38.0%0%326.7%-260.7%-263.7%4451(4211)240(3361)(464)(2280)(170)(1756)(1719)483(10233)(10706)(-11052)100.0%94.6%5%75.5%10.4%51.2%3.8%39.5%39%10.9%229.1%-240.5%-248.3%4866(2224)2574(2959)(540)(1659)(321)(1309)(978)0(7834)(5255)(5401)100.0%45.7%52.9%60.8%11.1534.1%6.6%26.9%20.1%0%160.6%107.7%110.5%Source:Geberit(Daishan),RolandBerger&Partners’analysis2000(1~12)*7763(4000)3425(3947)(721)(2241)(427)(1742)(555)(100)(9915)(6490)(7223)100.1%51.5%44.1%50.8%9.3%28.5%5.5%22.4%7%1.3%127.7%83.6%93%*EstimationSHA-4309-03690-08-15c.PPTAsaresultofcostcontrol,o8.8%24.3%48.2%Short-terminterestbearingdebtincreasednearly4fold,leadingtheshort-termliabilitiesincreaseby123%.Thisamountedto68.5%oftotalassetsbytheendofJuly,2000Source:Balancesheet,Geberit(Daishan),RolandBerger&Partners’analysisLiabilitiesDevelopmentLiabilitiesDevelopment,98-00(1-7)199819992000(1-9)+123%[RMB‘000]Short-terminterest-bearingdebt

development98-00(1-7)+487%199819992000(1-9)[RMB‘000]%oftotalassets%oftotalassets32.9%50.2%68.5%SHA-4309-03690-08-15c.PPT8.8%24.3%48.2%Short-terminter0.850.420.600.360.490.28Asaresultofthedisproportionaluseofcurrentassetsandcurrentliabilities,GDAI’sliquiditysituationisdeterioratingSource:BalancesheetGeberit(Shanghai),RB&PanalysisCurrentratioQuickratioCurrentassetsCurrentliabilities+29%+127%Developmentliabilitiesandassets[RMB‘000]SHA-4309-03690-08-15c.PPT0.850.420.600.360.490.28AsarDuetohugelosses,thecompanyissolelyfinancedbyinter-companyloans.Liabilitiesincreasefasterthanassets.BalancesheetGeberit(Daishan)1998~2000.7[RMB‘000]Back-up199819992000FixedassetsIntangibleassetsInventoriesOtherprepaidexpensesAccountreceivable(net)Cash&cashequivalentTotalassetsSharecapitalRetainedearningsNetincomecurrentyearTotalliabilities&provisionsTotalsharecapital&liabilities16,3093,9423,2967302,2861,57228,13535,447(8,372)(8,659)9,71928,13558.0%14.0%11.7%2.6%8.1%5.6%100.0%126.0%-29.8%-30.8%34.5%100.0%16,4173,4323,1242222,3252,87628,39640,901(17,031)(11,052)15,59628,39657.8%12.1%11.0%0.8%8.2%10.1%100.0%143.9%-59.9%-38.1%54.9%100.0%17,0103,1353,9993082,3823,33530,16941,201(28,083)(3,919)20,97030,16956.4%10.4%13.2%1.0%7.9%11.1%100.0%136.6%-93.1%-13.0%69.5%100.0%Source:Geberit(Daishan)SHA-4309-03690-08-15c.PPTDuetohugelosses,thecompanC2.Organization&processesSHA-4309-03690-08-15c.PPTC2.Organization&processC2.1.OrganizationstructureSHA-4309-03690-08-15c.PPTC2.1.OrganizationstructGDAI’sorganisationstructuresandmanagementteamhavebeenimprovedafterthechangeoftheownership,providingthebasisforfurtherimprovementGDAIBaseforfurtherimprovementisestablishedWhollycontrolledbyGeberitOrganisationstructureisclearandfollowedAuthoritiesandresponsibilitiesareclearGM‘smanagementskillsareacceptedbytheemployeesChinesemiddlemanagementteamisset-upReportingsystemhasset-upPositivecorporatecultureisformingInternalcommunicationandco-operationhavebeenimprovedEmployeesaregenerallymotivatedandhavethepositiveattitudetothefutureofthecompanySHA-4309-03690-08-15c.PPTGDAI’sorganisationstructuresInGSHA,GeberitandLidahavenotintegratedwellfromthefoundationofJV.ThiscreatesalotofinternalconflictsandmanagementchaosGSHALidaGeberitCorporatecultureManagementstyle/skillsProductlinesMarketsWorkstyleSHA-4309-03690-08-15c.PPTInGSHA,GeberitandLidahaveHRHRHRHRMoreimportantly,inGSHA,theofficialorganizationstructureisnotimplementedOfficialorganizationstructureOrganizationstructureinrealityGMDpt.GMSales&

marketingProduction

&logisticCCSAdminTwopartiesexistleadingtointernalconflictsandcomplexitiesUnclearlydefinedauthoritiesandresponsibilities,leadingtooverlapofsomefunctionsCCSisseparatedfromthecompany’ssystem,leadingtoinefficientco-operationandlowefficiencyGMDpt.GMCCSSales&

marketingProduction

&logisticAdminSHA-4309-03690-08-15c.PPTHRHRHRHRMoreimportantly,inGGeneralmanagerisdirectlyinchargeofsalesandadministrationbybeingthedepartmentmanager,leadingtonomiddlemanagementteam.Most3rdtiermanagersarenewlyappointed,whichresultsinlackingcontinuityinmanagement1):EmployeesfromLida2):Themanagementteamofsalesdepartmentisrelativelystable,buttheturnoverofsalesstaffisrelativelyhighGMH.SchuetteSales&marketing2)H.SchuetteProduction&logisticKenLeung7monthsCCSK.KoenigslehnerAdministrationH.SchuetteProcessengineering

24yearsQualitycontrol

1monthLogistic

5monthsOutsidepurchase

5monthsProductioncontrol32yearsProduction

3monthsMaintenance

5monthsLocalpurchase

2yearsControlling1yearEDP

2monthsDoc.Admin

17yearsMaterialDev.

2monthsPersonnel

32yearsAccounting

2yearsProductiondep.

Past-timeQualitymanagementN/NProcessdep.N/N>6months>3-6months<3months1)1)1)1)1)SHA-4309-03690-08-15c.PPTGeneralmanagerisdirectlyinC2.2.ManagementstructureSHA-4309-03690-08-15c.PPTC2.2.ManagementstructurThehighhierachymanagementdesigninGSHAleadstolowefficiency,andslowdecisionmakingprocessOrganization&ManagementstructureDecision-makingprocessGMDpt.GMDep.ManagerRegionalManagerSectionalmanagement2111421Total:48,upto32%oftotalemployeesGMDpt.GMTotal:12peoplereporttoGMdirectlySHA-4309-03690-08-15c.PPTThehighhierachymanagementdPersonnelexpensesinGSHAhavebeenupto73.5%oftotalsalesinJuly2000,asaresultofthechangeofpersonnelstructurePersonneldevelopment&structure1997-2000*Turnoverperemployee*[RMB‘000]1997199819992000*excludestaffinBeijingOffice199819992000*EstimationProductionAdminSalesCCS11%2%6%6%15%17%19%31%29%25%23%59%54%52%52%129138148151+13%0%SHA-4309-03690-08-15c.PPTPersonnelexpensesinGSHAhavThegeneralmanagercannotgainnecessaryandcorrectdatafromthecompanyfordecision-makingMainproblemsofdata/reportingNocontrolofdatainput(e.g.nocrosscheckinthewarehousing)DatainputAlotofusefuldataaren’tavailable(e.g.scrappedproductreport)DataprocessingNostrictcontrolsystem(e.g.nocomparisonofactualcostandstandardcost)Dataisonlyfordocument,notforanalysisDatacontrollingToohighfiguresinbudgetingandsalesforecastPlanningPoorqualitydecisionbasisSHA-4309-03690-08-15c.PPTThegeneralmanagercannotgaPerformanceevaluationandincentivesysteminGSHAisveryweak,leadingtolowmotivationandcommitmentProblemsEvaluation&promotionImpactsNodefinedprocedure&criteriawerefoundforevaluationNoclearcriteriaforpromotionPoorcooperationIrresponsibleworkIncentivesystem&TrainingNoincentiveschemeNopersonneldevelopmentprogramNotenoughtrainingprogramsLowmotivationamongstaffLowcommitmenttothecompanyLowqualityofemployeesHighstaffturnoverSHA-4309-03690-08-15c.PPTPerformanceevaluationandincGSHAdoesnothavethepropermanagementsystem,thereforeitisruninefficientlyMainproblemsinmanagementMainproblemsinmanagementsystemControllingsystemisnotfollowedLackofperformanceevaluationsystemNoincentiveschemeUnclearlydefinedauthorities&responsibilitiesNoreliableinformationfordecision-making(e.g.actualcost)QualityofdataispoorNoformalreportingsystem

tocollectdataOfficialstructureisn’timplementedGMdoesn’thaveleadershipRedundantmanagementlevelleadstoprevarication&inefficiencyManagementteamisn’tintegratedandhugeturnoverinthemiddlemanagementNomotivatingcorporatecultureNotrustworthinessbetweenGM&localstaffDecision-MakingControlling,promotion&evaluationManagementstructureCulture,morale,communicationLowmorale/motivationLowcommitmenttothecompanyInefficientinternalcommunicationUnclearcriteriaforpromotionSHA-4309-03690-08-15c.PPTGSHAdoesnothavetheproperC2.3.KeyprocessanalysisSHA-4309-03690-08-15c.PPTC2.3.KeyprocessanalysiCurrently,inGSHAtheproduction-orientedprocessleadstounawarenessofthemarket,asaresult,therearenorightproductsintherightmarketProductionSalesMarketingHRR&DFinanceLogisticsAfter-salesserviceCorporatestrategyBusinessunitstrategyProductstrategyProfitsCorporatecultureMoraleManagementcapabilitiesCooperationwithChinesepartnersSHA-4309-03690-08-15c.PPTCurrently,inGSHAtheproductCCSdoesnothaveenoughmarketinformationwhichleadstolongdevelopmenttimeandlimitednumberofnewproductsProductInitiationProductDevelopmentProductLaunchNoclearproductdevelopmentstrategy,nocomprehensivemarketresearch,nodetailedquantitativeforecastandnonmarketorientedmethodleadtolownumberofsuccessfulproductsandwasteofresourcesNotenoughmanpowerandtechnologyresourcesandlackofcooperationandcommunicationwithotherdepartments(e.g.productionandsales)leadstopoordesignandlimitednumberofnewproductsLongtime-to-marketleadstomissedmarketopportunity(especiallyforDaishan)SHA-4309-03690-08-15c.PPTCCSdoesnothaveenoughmarkeInGSHA,processcontrolinproductionsystemisinadequate,leadingtohighproductioncostProductionplanningPurchasingImprecisesalesforecastfigurefromsalesdepartmentandtoomany“DailySalesOrder”leadtodifficultiesinarrangingtheproductionscheduleandpurchasing.ThisleasttohighinventorylevelanddeliverydelayNoMISforpurchaseplanleadstohighamountofstorageorshortageofsomematerialsNoevaluationofsuppliersleadstohighpriceandpoorqualitySelectionandreviewofsuppliersarealldonebypurchasingdepartmentwhichleadstodifficultiesforfurtherimprovementFrequentchangeofsuppliersleadstounsustainablequalityandhighwaste(e.g.PVC)SHA-4309-03690-08-15c.PPTInGSHA,processcontrolinprInGSHA,processcontrolinproductionsystemisinadequate,leadingtohighproductioncost(continued)Controlofinput/outputProductionStoragecontrolCCScannotprovideallthenecessarytechnologystandardsforqualityinspection,leadingtopoorqualityinputs.Therec