|
|
|
|
|
|
|
 |
 |
|
| . |
|
|
|
|
|
|
| Stromberg, Inc. |
|
|
|
|
 .
|
|
|
|
|
|
|
|
|
|
|
|
Go To: Company
Overview |
|
| Position: President & CEO |
|
|
Go To: Product
Overview |
|
|
|
|
Go To: www.stromberg.com |
| Products Launched:
|
|
|
|
 |
| Situation/Background: After finishing
a 2 year post acquisition employment agreement with Enteractive Inc./USWeb Cornerstone I
was introduced by Marc Basset (VP with recruiting firm Hobson Associates) to Bob Matthews,
a successful southern Connecticut real estate entrepreneur. Bob had recently
concluded a deal where he bought New Haven Manufacturing out of bankruptcy for an amount
that would be profitable for reselling the real estate alone. In this transaction he
inherited a conglomerate that consisted of three very different business: time and
attendance, airplane parts, and door/cabinet handles. Bob was interested in
improving his asset value by re-building these businesses. I was brought in as part
of his search for someone with a technology background that could re-invent and re-build
Stromberg, the time and attendance business component of New Haven Manufacturing.
Stromberg was once the dominant leader in the time and attendance business and was
responsible for selling the first mechanical time clock. The company over years of
poor management had gone from a well regarded dominant force to a company woefully behind
in technology with less than a 3% share of the market it had founded. Given the
unclear outlook for what could be done I accepted the position of President & CEO as a
one-year consulting assignment. It intrigued me to see if I could resurrect a dead
giant through effective acquisition and marketing. |
|
| Position Objectives: To re-invent and
re-build the 100-year-old former leader of the
Time & Attendance market from a bankruptcy position ($2.5M in sales) to becoming a
$100M leader in the labor management and identification market
through acquisition and aggressive marketing. |
|
| Issues: The company had no investment
or management attention for almost five years and was milked as a cash cow, thus with few
exceptions the only employees left were those with little prospects, low motivation, or
those that were being paid while working other jobs on the side. The industry was
dominated by Kronos with a 65% market share position in the time & attendance
market. Bob Matthews had high expectations but a limited budget (<$3M) for
investing in the new venture. |
|
Results: Created the 7th fastest growing company in
Central Florida and 2nd fastest growing software company!
- Acquired Jason Data Systems a $3M time and attendance software company. This small, but
leading edge, company and its founders provided the product and development foundation for
rebuilding Stromberg.
- Created new Stromberg corporate identity – modernizing the company image, yet
retaining the benefits of a 100 year heritage of customer satisfaction.
- Built company from ground up – 8 to 55 employees over 4 months. New management
team, departments, policies & procedures, product, sales and operational strategies.
Moved newly acquired Jason Data to new facilities in Lake Mary, FL and integrated company
into a new whole.
- Launched new line of time and attendance software and new line of biometrics clocks for
secure and reliable facility and time entry. Modernizing product line and
significantly improving companies perception in the market.
- Restructured sales force into both a direct sales arm focusing on dense territories and
a distributor/reseller arm focused on less dense territories and international sales.
- Raised revenues from $2.5M to $6.5M run rate during first quarter of operations (118% of
forecast). Operation costs kept to 70% of budget.
- Named to the Central Florida Technology Fast 50 list, a ranking of the fastest growing
technology companies in Florida (1995-1999).
|
New Lake Mary, Florida Facility |
|
| Current Situation: The new Stromberg
officially moved headquarters from New Haven, Connecticut to the new Lake Mary, Florida
facility and consolidated all none sales people into this one facility. The company
has continued to steadily grow in sales and is now a profitable entity. The company
is looking to go public in the next 1-2 years. (6/00). |
|
|
|
|
|
|
|
|
|
| . |
|
|
|
|
|
|
| For more Information see document and articles
below, or go to: |
|
| . |
|
|
|
|
|
|
|
Company
Overview Page . |
Stromberg
Products Page |
|
| . |
|
|
|
|
|
|
