Skip to content
Case studiesDistributed Operations

Five Points of Margin, Without Selling More

A founder-led design-and-build venture. Nineteen people running one line of business, growing every week, and unable to say which project made money until after it had closed.

Work done by a MetMov partner in an operating role, inside the company, before MetMov. Not a client engagement. The employer is not named.

RoleOperating role, before MetMov

Key results

01
A 5% margin gain on the line, with no increase in revenue
02
Every project given one named owner accountable for its margin
03
Vendor terms moved from case-by-case deals to a single rate card
04
The founder moved from resolving every commercial call to setting the thresholds
The challenge

The line was working. The pipeline was full, projects went out every week, and the company P&L looked intact. What nobody on the operating team could do was trace, while a job was still running, which project was profitable, which vendor was eroding the terms, or where cost was quietly accumulating. Margin was reconciled in arrears, so profitability arrived after the decisions that caused it were already irreversible. Each project leader cut their own vendor deal, with no rate card and no standard onboarding. Site execution, design, procurement and finance each held a fragment of the cost stack and nobody held the total. Every pricing exception and vendor dispute routed upward to the founder, so the unit had a P&L on paper and not in practice. The business was not unprofitable. It was unmeasured.

The solution

Not a dashboard. Four layers that gave a nineteen-person team the architecture of a real operating P&L. Every active project was given one named owner, accountable for revenue, cost and margin against a baseline, so margin became a person's number rather than a finance report. Vendor onboarding, a rate card and a performance review cadence replaced deal-by-deal negotiation, which made terms comparable across vendors for the first time. A sixty-minute weekly commercial review put margin variance, vendor performance and pricing exceptions on one table while they were still reversible, with the founder present as a participant and not as the resolver. A written charter delegated vendor selection, pricing exceptions within thresholds and commercial trade-offs, which returned the founder to the decisions only a founder should be making.

Discussion

Discussion

Leave a comment

Next

Ready for a similar transformation?

Install your Operating Spine in 90 days. Start with a short scoping call.

Chat with us!