The consequences of the 2008 economic crisis and the challenges of general technology change in areas such as Green Energy, E-Mobility, Autonomous Driving, Artificial Intelligence / Collaborative Robotics, etc. have undoubtedly caught up with all sectors of industrial production. A fragile market recovery, currency turbulence, an increasingly volatile situation in investment destination countries, a departure from existing structures in customs and goods traffic, hurdles for the just-in-time supply chain are increasing the pressure on prices, margins and efficiency. Another risk of success for companies – especially affectingthe German-speaking economic area (DACH) – is the dramatic shortage of skilled workers. In addition, there are new positions such as CDO (Chief Digital Officer) or Head of IoT, for which candidates must be identified who previously could not have held this position.
The area of industrial production includes the following sub-sectors:
• metal industry
• chemical industry
• Construction and large-scale plant construction
• Mechanical and plant engineering
• Aerospace &defenceIndustry
• Wood, paper and packaging industry
These industries are closely interlinked. In many cases they form a common value chain through customer-supplier relationships. In addition, the industries are increasingly regarded as pioneers when it comes to mastering the structural change and the strategic realignment of the companies.
Currently, confidence in the future of the mechanical engineering industry is increasing. The industry executives expect growth above all from the booming regions in China and India, and increasingly also in Africa. However, the situationin these emerging markets is highly competitive, as shown by falling margins. With market-driven product innovations and efficiency-enhancing process improvement, managers want to strengthen their market position.
It is becoming increasingly important to precisely understand the needs of the customers. Product innovations must be directed to their wishes. Additional to an increased customer focus, new factors of relevance such as environmental aspects gain in importance.
The Chinese impact is steadily growing. In some sectors, China also has the world's largest single market. However, exchange rate changes and market entry barriers should not be underestimated when making investment decisions.
The companies want to grow –with a clear focus on Asia, with Africa slowly catching up. However, lack of appropriate human resources can jeopardize growth outlook. The companies need enough suitable talents also locally. International secondments require a high level of flexibility of the employees or applicants. The fight for qualified candidates will intensify.
In order to be able to actively meet the challenges of the future, the balance must be maintained between long-term strategic measures and short-term existential measures.
These changes in the strategic environment require first of all from executives, but also of supervisory members, a foundation that focuses on three strategies: maximizing liquidity, reducing costs and securing sales. Key competences and current topics are: Working Capital Management, Innovation Management, Financial Accounting Services, Cash Improvement / Cash-oriented Corporate Management (especially in SMEs), Complex Project Management, Purchasing Optimization, Cost Cutting Strategy and Sustainability.
LSG & Langanke AG supports you in the addressing and placement of these candidates, with above mentioned criteria featuring prominently.
In the Industrial Production team, we support companies in filling management positions at all levels, as well as engineers and technical
The automotive industry, with its entire value chain, is facing profound changes that will change the structures of corporations and medium-sized companies in a sustainable manner. These elements are the far-reaching technological changes (CO2 discussion, future propulsion technologies, e-mobility, etc.), the change in consumer attitudes (functionality vs. image, environmental protection, etc.) or the shift in power relations in the industry,with new competitors entering the markets, competitors from other sectors, increasing autonomy of some strategic suppliers, etc.. In addition, car manufacturers and their suppliers are struggling with declining revenues and overcapacities in global competition. Uncertain energy price trends and increasing pressure to consolidate, which will bring about a change in the architecture of the sector, as well as the entry of new competitors from emerging countries, form the future scenario of a changed automotive and supplier industry.
Every company in today's automotive industry has to critically deal with the question of their own role in this new market. The radical market change requires the ability to look beyond the known limits of personal capabilities as well as branch specific ones. The basis for this is the ability to develop, expand and manage new and existing business models, as well as to develop creative potential and sufficient resources for entrepreneurship. In particular, the short-term securing of sufficient financial resources is currently the focus of all entrepreneurial decisions.
In order to be able to actively meet future challenges, the balance must be maintained between long-term strategic measures and short-term livelihoods.
These changes in the strategic environment require first of all executives, but also supervisory members who meets new, challenging market requests. Key competences are increasingly manifested in change management skills. Personalities who develop and implement innovative strategies that guarantee a sustainable international network will become an increasingly differentiating criterion.
LSG & Langanke AG supports you in the addressing and placement of these personalities and focuses on the areas of operations such as production, purchasing, logistics and development. However, the topics of strategy, organization as well as marketing and sales are also gaining importance.
In the Automotive & Industry team we advise companies on filling management positions at all levels as well as technical specialists and engineers.
The focus is on technical and commercial management tasks, area management and departmental management. Our customers include well-known companies from DACH region-based medium-sized companies and owner-managed enterprises. The focus is on manufacturers and suppliers of the automotive industry.
Worldwide, the electronics industry produces more innovations than almost any other industry. In addition to IT, it is one of the most important drivers for future markets and innovation and for almost all sectors of society of outstanding importance.
The electronics industry will (or must) provide decisive answers to key challenges of the 21st century. This applies among others in the field of automotive electronics (e-mobility, autonomous driving, increasingly complex driver assistance systems), in industrial electronics (industry 4.0 and industrial automation) as well as in the course of the energy transition, where by "smart grids" (intelligent power grids) communicative networking of power generation, storage and consumption must be realized.
From a global perspective, the key role of electrical engineering becomes even clearer: the growing world population, dwindling resources or the consequences of climate change exemplify the need for new technologies. For the "all electric society", the electrical industry can offer solutions such as resource-saving technologies, smart homes and smart cities make a decisive contribution.
As an engine of innovation and growth, electrical engineering not only plays a key economic role. It will decisively shape innovations such as the IoT (Internet of Things) and, in an ever-increasing interdisciplinary exchange, for example. Implement pioneering technologies for the entire manufacturing industry between electronics, IT and automation (collaborative robots, machine learning and self-learning systems, smart factories, secure IT infrastructure).
In an international comparison, Switzerland is one of the leading innovators in key and cross-cutting technologies today. But small and medium-sized companies are operating in an internationally competitive, fast-moving market with extremely short product cycles.
In this competitive environment, companies focus primarily on high product quality, ever-increasing customer orientation and continuous product development and process optimization. Its aim is to maintain and expand the strengths of the Swiss electrical industry - its high pace of innovation as well as its adaptability and willingness to change.
However, this inevitably leads to a continuous increase in the demands on employees and executives. Company management and employees assume that the pace of change and competitive pressure will be exacerbated.
One of the central challenges in persisting in global competition is therefore to attract outstanding specialists and executives. This is especially true, as two-thirds of medium-sized companies complain about finding sufficiently qualified employees.
LSG & Langanke AG supports you in the addressing and placement of these candidates.In the Electronics & Automation team, we advise companies in filling all levels of management positions, as well as specialists and engineers. In addition, there are strategically important specialist positions and staff departments.
Swiss and international consumers are reorienting themselves – a one-dimensional purchase decision, defined exclusively by price, additionally challenged by Internet trade, is putting massive pressure on the retail trade. Restructuring, as it seems to be essential for traditional Swiss companies – including market leaders – are exposed to changes and reorganization with increased demands for relevant change management and capabilitiesand skills on the executive level. On the other hand, the trend in the industry to assert itself through premium branding has become an important success and unique feature of companies.
This development is providing brand manufacturers and retailers with new strategic and tactical options. Even in the wake of this turnaround, trade and industry are still facing major challenges. However, their traditional strengths such as customer orientation and brand leadership make them well equipped to meet these. If they continue to invest in operative excellence, they will have a very strong hand indeed. Global sourcing, supply chain management, lean retailing, sales and distribution are particularly noteworthy areas in this context.
Discerning consumers, demographic change, stiff competition, high cost pressure and short product life cycles are among the industry accelerators in our eyes.
A balance must be struck between long-term strategic measures and short-term measures designed to secure the existence of the company, in order to enable future challenges to be tackledhead-on.Such changes in the strategic environment require that managers in particular, but also supervisory boards, maintain a basis that focuses on what are fundamental strategies in this situation.
LSG & Langanke AG supports you in approaching and placing these personalities.
The Consumer Goods & Trade team advises companies on filling vacant managerial positions at levels 1 to 3, as well as strategically significant specialist positions and staff department vacancies.
The focus is on technical and commercial management tasks, divisional and departmental management. Our clients include well-known DACH-region based small and medium-sized enterprises, as well as owner-managed businesses.
Private equity companies, having raised the necessary funds, face the challenge of investing their capital profitably. The market is becoming increasingly competitive, partly because international investors are joining the fray. Investment strategies frequently focus on the “hidden champions” among Germany's small and medium-sized enterprises.
In the case of growth financing in suitable target companies, the investment strategy of private equity companies is characterised by a favourable risk/return ratio. The target company should also boast a stable cash flow and/or appropriate EBITDA figures.
PE transactions often take the form of a leveraged buy-out (LBO) – this means that the investment has been made largely on the strength of borrowed capital. The aim is to generate as high a return as possible on the invested equity capital. Increasing the equity return is described as the leverage effect. It depends on total profitability being higher than interest on the borrowed capital. Management buy-outs (MBOs) are relatively common, but result in a number of operative challenges that have to be overcome.
Challenges to private equity companies
The biggest challenge faced by a private equity company is to identify the right targets. Compatibility with the above-mentioned value drivers (EBITDA, cash flow and risk/return ratio) is important, but the target must also match the individual investment strategy, which is often geared to sales levels, sectors and the existing network. Proprietary deals are generally sought, as the purchase price in such cases is often commensurate with expected performance. Considerable networking is required if this strategy is to succeed.
Once a potential target has been identified, the next question is often “How can I make an initial, discreet approach to the company / its shareholders?” This fundamental issue can make or break a deal. Communication is key.
Due diligence is essential if the potential of a target is to be assessed accurately. This is a virtually impossible task unless the right industry experts from the same sector as the target are involved. However, it is also a good idea to bring in experts from the respective sales markets, as they are familiar with customer requirements and can provide referenced access to potential contacts. Here, too, intensive networking is also indispensable.
Management / supervisory board
The purchase and future development of the company stands and falls with the management and supervisory board. Management constitutes the link between the financial investor and the business operations of the portfolio company. A detailed selection process is imperative with a view to minimising the risk.
LSG & Langanke AG has geared its services to tackling the raft of extremely demanding challenges that face private equity companies. We provide our private equity clients with exclusive networking; among other things, we pledge to contact the right people in the right sectors at all the right stages of the process. We work closely with our clients to define potential sectors, sub-sectors and target companies.
Life Science and Health Care
Technical progress, individualized care, and longer life expectancy characterize the pharmaceutical and medical industry like no other sector. Aggravating factors include increasing cost pressure, the compulsion to increase efficiency and an increasing concentration process, as well as high cost-intensive innovation and research intensity, a high-level confrontation with rising energy costs and stricter requirements for environmental and climate protection.
Holding one’s ground in a competitive market is possible when working with the downstream industries and research institutions for new substances and applications, while continually improving the cost base at the same time by more efficient production and distribution processes. The agenda of the medical device and pharmaceutical manufacturers is also long: logistics, patent protection, emerging markets, sustainability - to stress just a few points.
It is a fact that in the future the business model of the pharmaceutical companies will convert strongly. One reason: With personalized medicine application models patients can be treated individually. Based on the finding that patients with identical diagnosis may respond differently to treatment with the same drugs a tailored patient treatment approach to the genetic profile of the patient treatment is required.
A balance must be struck between long-term strategic measures and short-term measures designed to secure the existence of the company, in order to enable future challenges to be tackled head-on.Such changes in the strategic environment require that managers in particular, but also supervisory boards, maintain a basis that focuses on the complex value chain of life science and pharmaceutical companies, starting from a sole-based therapeutic offer to an integrated proposal of diagnostics, biomarkers, therapeutics and heron balanced services.
LSG & Langanke AG supports you in approaching and placing these personalities, focussing on the above-mentioned areas in its project work.
The Life Science and Healthcare team advises companies on filling vacant managerial positions at levels 1 to 3, as well as strategically significant specialist positions and staff department vacancies.
The focus is on technical and commercial management tasks, divisional and departmental management. Our clients include well-known DACH region based small and medium-sized enterprises, as well as owner-managed businesses.
The Media & Entertainment segment, also for the Swiss market, is handled by LSG &Kollegen GmbH, Munich.
The area of sport, also for the Swiss market, is handled by LSG &Kollegen GmbH, Munich.
M & A
With more than 8 years in the DACH region and 15 years of relevant experience in attractive outsourcing and investment locations (e.g. in CEE with Poland, Slovakia, Czech Republic, Hungary), with Dr. Langanke, Chairman of the Supervisory Board of Slovak Invest Agency and a partner of the Hungarian Investment and Promotion Agency, LSG & Langanke AG has a unique selling proposition for our customers in Switzerland, Germany, Austria and their interests in this region. Through our network in the automotive, aerospace &defence, mechanical engineering, plant engineering / automation and manufacturing businesses, we provide our clients with professional and transparent M & A options for company acquisitions, company sales and succession planning. In addition, LSG & Langanke AG supports the wish of many owner-managed and family-run companies / entrepreneurs to maintain / expand their competences in the DACH region when deciding to (partially) sell or buy to generate additional growth and secure core DACH-region based competencies.
In addition to our expertise in Europe's M & A-relevant markets, with a dedicated focus to the DACH-region, LSG & Langanke AG also supports its customers in the future markets for production outsourcing and relocations such as the CEE region and selected African countries. The involvement of With Dr. Ulrich Langanke, as the only representative of the HR branch, being involved in the coordinated activities of the Bavarian Ministry of Economic Affairs and the Federal Ministry for Economic Cooperation and Development (BMZ) of the Federal Republic of Germany in the field of economic development in Africa with the focus regions Maghreb and Sub-Saharan Africa, LSG & Langanke AGis featuring an innovative USP as a competent contact for investment and labor market-specific solutions in the focus region Africa.
Corporate restructuring / lean management / in-house training
With proven expertise in business restructuring, lean management and productivity optimization for Swiss, German and Austrian SMEs, with a focus on the automotive supply industry, we offer sustainable, KPI-based and hands-on solutions for innovative production processes and the successful implementation of individual tools to full set-up to increase efficiency and productivity.
As a successful and innovative developer and service provider for products in the area of in-company training / further education - with a customer portfolio ranging from SMEs to premium OEMs - we guarantee sustainability, company loyalty, innovation readiness and efficiency of the employees and functional managersfor our customers.
The automotive industry, OEMs and the supply industry, is a cornerstone of the dynamic economic development of the markets of Eastern Central Europe (CEE). Whether Volkswagen, PSA or Kia in Slovakia, Audi, Daimler-Mercedes, GM-Opel and BMW (from 2020) in Hungary, Škoda in the Czech Republic or Fiat in Poland - The relocation of premium manufacturing continues, forcing subcontractors to create added value from CEE locations as well. The locations of the OEMs and the suppliers who have settled in CEE as part of the "Follow the Customer" commitment benefit from the strategic challenges arising from the modernization and adaptation pressure of the parent companies in Western Europe.
Automobile manufacturers and suppliers are confronted with declining earnings and declining competitiveness, resulting in increased pressure for consolidation, the constant challenge to create added value besides rising logistics costs. Above all, the markets and companies in the Visegrádstates (Poland, Slovakia, the Czech Republic, Hungary) benefit from this: Close enough to the decision-makers, headquarters and parent companies in the West, comparatively low wage / wage costs despite progressively rising wages, legal certainty and political-social stability within the context of EU membership, partial introduction of the Euro (Slovakia), comparatively good educational standards, modern infrastructure and calculable logistics costs –our automotive customers are increasingly taking advantage of these regional advantages.
Until the outbreak of the global financial crisis in 2008, the motto was that investments in the CEE markets were primarily (commodity) production lines and labor-intensive processes, since then the focus has increasingly shifted to expanding existing engagements towards value added development, R&D and design.
The basis for this is the ability to develop, expand and manage innovative and existing business models, as well as to develop creative potential and sufficient resources for entrepreneurship. The radical market change requires the ability to look beyond the known limits of the automotive industry.
To proactively address future challenges, the balance between long-term strategic measures and short-term targets must be maintained. Every automotive company in CEE has to critically deal with the question of their own role in these changing market conditions. This change management processis also manifested in the need for a challenge-proof management culture among local decision-makers. These changes in the strategic environment require appropriate executives, but also supervisory members. Key competencies are increasingly manifested in change management skills. Personalities who develop and implement innovative strategies that guarantee a sustainable international network will become an increasingly differentiating criterion