With funding from the European Union under the EU4Business Initiative, the European Bank for Reconstruction and Development (EBRD) assisted Monomakh, a Ukrainian tea and coffee producer, to create a new development strategy, optimise business processes and bring their financial reports into compliance with international standards.
The EBRD helped Monomakh, a Ukrainian company specialising in tea and coffee production, to create a new development strategy, to optimise their organisational structure and to bring their financial reports into compliance with international standards. Within one year, the number of employees grew two-fold, and the company turnover rose by 258%. This project helped the company to become more competitive in the context of the Deep and Comprehensive Free Trade Area with the European Union.
Monomakh was founded in 1991. Initially it imported packaged tea, and later focused on imports of bulk raw materials with further production of tea and coffee under its own trademarks: Monomakh, Knyaz, Three Elephants, Fruits, and others. Since 2008, the company has been actively developing a new niche – production of tea and coffee under customers' trade marks (PrivateLabel) – primarily for large retail chains, such as METRO, BILLA, FOZZY, Velyka Kyshenia, etc. At present, Monomakh is the leader in that sector.
The bank helped the company to find a Ukrainian consultant and covered a part of costs of their services.
The consultant:
- Carried out a diagnostic analysis of the enterprise
- Estimated the company's market value
- Reconstructed management accounting and financial reporting,
- Developed a medium-tern financial model
- Developed a strategy and a tactical plan for the company development.
- This made it possible to optimise business processes and promoted further development of the company.
The EBRD also helped the company to find a foreign consultant who developed a three-year business plan. The company aims at entering international markets, therefore, in order to make sure that its products meet the quality criteria of European customers, the enterprise will upgrade its HACCP and will soon carry out the FSSC 22000 food safety certification. The consultant also recommended changing work processes and optimise production planning, enabling the enterprise to produce more without additional resources.
The optimisation of business processes in the company, implementation of a new development strategy and a business plan enabled the management to act in a more purposeful manner and take decisions that promoted further business development.
Only a year later, the number of employees has grown two-fold to 240 and their labour productivity has increased by 171%, raising turnover by 258%.
Total project value
€77 000
Client contribution
€16 940
