Once Family Memorials completes the acquisition of a new business, the company immediately begins a restructuring strategy to modernize the operations and increase profit margins.
Most monument companies manufacture products on site and provide installation services post completion of the sale. Manufacturing and installation require expensive equipment and labour which negatively impacts and limits profits.
Since going public in 2005, Family Memorials has centralized accounting, purchasing and inventory control at its Head Office in Thunder Bay, Ontario. Each new store is integrated into this centralized system. Shipping and raw material costs go down due to grouping of orders and volume discounts. Labour, machinery, insurance, rent and tax expenses also decrease due to outsourcing of manufacturing and installation.
Increased sales will be achieved by:
- establishing referral agreements;
- hiring top-quality commission sales people;
- drawing on experienced management to share marketing ideas; and
- enhancing the retail experience for customers.