Executing Multi-Entity Separation and ERP-Enabled Operating Model Reset

CASE STUDY | BUSINESS SEPARATION & SYSTEMS TRANSFORMATION

Brunetti Group, a $50M hospitality and manufacturing business operating across Australia, Singapore and the UAE, required structured separation into two independent operating entities while simultaneously modernising ERP, warehouse and supply chain governance.

The mandate was to execute a clean structural carve-out, stabilise inventory and logistics exposure, and re-establish executive financial control — without operational shutdown across international sites.

Key Deliverables

• Corporate separation and asset division sequencing
• ERP and WMS implementation across multiple countries
• 3PL transition and warehouse consolidation
• Forecasting and production planning recalibration
• Vendor renegotiation and cost structure redesign
• Governance and reporting cadence reinforcement
• Workforce and operational model realignment
• Executive-level integration and risk oversight

Background

Brunetti operated a multi-country hospitality and production footprint generating approximately $50M in annual revenue.

Operational exposure included:

• ~$7.5M inventory holdings
• Distributed warehousing and internal fleet operations
• International logistics complexity
• Multi-brand site operations
• Central production kitchen servicing retail and wholesale channels

The business required:

• Legal and financial separation into two independent entities
• ERP and warehouse systems upgrade
• Supply chain and production redesign
• Stabilisation of profitability across international markets

The business remained live throughout separation and transformation.

The Challenge

The structural risk extended beyond systems.

Key instability domains included:

• Shared vendor contracts and cost centres across separating entities
• Fragmented inventory and logistics governance
• Forecasting inaccuracy affecting production yield
• Wastage volatility
• Limited financial consolidation clarity
• Executive reporting lag

Separation required:

• Clean division of assets and liabilities
• Workforce redistribution
• Brand reconfiguration
• Systems independence
• Vendor and supplier renegotiation

All while maintaining trading continuity across countries.

The Approach

The intervention was sequenced across three structural layers.

1. Corporate & Financial Separation

• Designed entity carve-out structure
• Sequenced asset and liability allocation
• Divided vendor agreements and renegotiated cost terms
• Established independent governance frameworks

Result: Clean separation without operational interruption.

2. ERP & Warehouse Systems Reset

• Implemented ERP across international footprint
• Deployed WMS for inventory control
• Closed two self-managed warehouses
• Transitioned to optimised 3PL model
• Eliminated internal B2C delivery fleet

Result: Centralised stock governance and logistics cost control.

3. Operational & Production Realignment

• Recalibrated forecasting model
• Redesigned production planning discipline
• Reduced waste through process standardisation
• Reinforced executive reporting cadence

Result: Improved margin stability and operational control.

Outcomes

• ~35% logistics cost reduction
• ~20% wastage reduction
• ~15% forecasting accuracy improvement
• ~8.5% net profitability uplift
• Two warehouses closed and 3PL structure optimised
• Multi-country ERP stability achieved
• Executive financial visibility materially strengthened

Structural Impact

The engagement delivered more than system deployment.

It achieved:

• Clean legal and financial separation
• Restored inventory and cost discipline
• Reinforced cross-country governance
• Embedded scalable operational architecture

The business transitioned from founder-led operational sprawl to structured multi-entity governance.