Operational Due Diligence (ODD)

What are the risks and potentials of a company's operational business? Can a company fulfill the business plan presented with its operational capabilities? Operational Due Diligence (ODD) provides comprehensive answers to this question, uncovers possible risks and identifies possible levers with concrete implementation plans for further value enhancement.

Overview

In the context of Operational Due Diligence, we answer specific questions of our clients under high time pressure and information uncertainty. The questions concern both profit-related (cost reduction, sales achievement) and liquidity-related (e.g. investments, working capital) assumptions of the business plans to be reviewed and create a high degree of transparency about the respective opportunities and risks. The focus is on the performance of the direct functions (including purchasing, production, procurement, sales) and the support functions (including human resources, IT, development). As a result, we create a clear basis for decision-making for our clients and prevent unwanted surprises.

Our analyses are based on financial and operational data of the company, benchmarks, self-collected data and structured interviews. Our many years of project experience and our international network of experts enable us to take a fact-based, reliable and pragmatic approach.

Services

Avoid risks and seize opportunities

Questions for our team

What is particularly important for the ODD?

We develop a transparent picture of a company's operational performance and resilience. On the one hand, our goal is to provide potential buyers with a reliable basis for decision-making in the further transaction process – including the valuation. Our aim is also to use the ODD to lay a foundation for the post-transaction phase – in this way, we identify opportunities and risks as well as possible packages of measures.

What role does the review of the entire value chain play?

Since 2021 at the latest, we have seen a renewed increase in awareness of problems relating to the resilience of supply and value chains – it is becoming clear that a comprehensive analysis and timely identification of risks is essential for corporate planning and assessment. Our many years of industry and methodological experience help to identify problems at an early stage and to counteract them in a targeted manner.

How can the results of the ODD be classified and categorized?

We have many years of experience in the field of transactions and operational audits in defined core industries. In this way, we are very quickly able to provide a reliable assessment of the current situation, the achievability of the business plan presented and areas for action to reduce risks or leverage value.

How we help our clients