Right Directions scoops Sport England contract following competitor's administration

Wed, 03 Nov 2010

Sports management consultancy Right Directions has picked up a major contract with Sport England by keeping a close eye on its previous management company, PMP Consultancy and moving quickly when it headed towards administration.

PMP was one of the country's largest management consultancies specialising in sport, leisure and culture, but it fell into administration in July of this year after being unable to weather the tough economic climate and failing to provide a quality service to its largest clients.

As soon as the administration was revealed, Right Directions, which provides a ‘dynamic, realistic & alternative way of providing quality management and health & safety support to organisations in the sports and leisure industry,’ submitted a tender to Sport England to take over the contract, which focused on assessing UK leisure facilities.

Sport England is aiming to create a sporting legacy following the 2012 Olympic Games. National Lottery funding will be invested into organisations and projects that will create opportunities for the general public to enjoy sporting pursuits.

Sport England's Chief Executive, Jennie Price, said, “Sport England's priority is a simple one, ensuring as many people as possible play sport. With less grant in aid funding available, it is more important than ever that each pound reaches right down to the grassroots.”

Right Directions were awarded the million pound contract last month, which immediately catapulted their projected turnover to over double their previous forecast. The company are now joint scheme managers of the Quest and National Benchmarking Service.

Director Caroline Constantine said, 'we've inherited a contract that was previously handled badly, however we are very confident that we will deliver a far superior service focused on quality control and reliability'. She added, 'taking over a large contract with little forewarning is quite stressful in the early stages, but the systems we are putting in place are making it easier as we go".

This case highlights the benefits of keeping an eye on the financial standing of competitor firms. A common strategy is to receive alerts on winding-up petitions issued - which can often be one of the first signs that a company may fall into administration or liquidation. As Right Directions have found, being forewarned about a pending insolvency can open up all sorts of opportunities.


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