Trading and distribution company: a new structure proven live before roll-out
- INDUSTRY
- Trading and distribution
- LOCATION
- Riyadh, Saudi Arabia
- ENGAGEMENT
- 6 months
- FOCUS
- Organisation restructuring, roles and authority, order-to-cash
The challenge
The company had grown from a small trading team into a business with several product lines, a sales force and its own warehouse. The structure had grown by adding people, not by organising the work. Reporting lines crossed, and almost every decision found its way to the top.
Sales, warehouse and accounts each ran their own way. Customers waited on orders, stock built up in the wrong places, and the leadership team spent its days clearing approvals instead of building the business. By then the company had about 85 staff and 6 product lines. It handled around 1,200 orders a month and held about SAR 9 million in stock.
What we found
We mapped who actually does what, traced orders from the salesman's visit to cash in the bank, and costed the delays, stock losses and duplicated effort along the way.
-
01
Roles and reporting lines were unclear.Some people reported to two or three managers, and some tasks belonged to nobody. About 1 in 4 staff reported to more than one manager, and roughly 20 hours a week of work was duplicated across sales and accounts.
-
02
Sales and stock were not connected.Fast movers ran out while slow movers sat in the warehouse. About SAR 1.6 million of stock had not moved in six months, while stock-outs on the top 50 items cost an estimated SAR 120,000 a month in lost sales.
-
03
Everything waited at the top.Discounts, credit, purchases and staff issues all needed the CEO's sign-off. Around 70% of approvals went to the CEO, and orders waited 1 to 2 days for a signature.
What we built
Across the layers of the Organise to Grow model.
The results
The structure the company now runs on was tested before it was rolled out, so the team trusts it. Decisions move faster, orders flow from sales to warehouse to accounts without chasing, and the leadership team has time back for growth. Approvals reaching the CEO fell 60%, and order-to-delivery time dropped from 4.5 to 3 days. Dead stock fell 30% within six months.