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M2 Global Enters Strategic Alliance with Virginia Firm
San Antonio, TX
January 12th, 2001

GMD Solutions, Inc.
M2 Global Solutions has entered into a strategic alliance with Alexandria, VA based Global Marketing and Development (GMD) Solutions Inc., an international firm with business consulting expertise in 35 countries.  The two firms signed the definitive agreement to jointly market their services in December.

San Antonio based M2 Global, through its M2 Global Solutions subsidiary, will assist GMD Solutions in its mission to help its clients effectively manage component deliveries during the production process, enhance manufacturing operations and improve productivity.

GMD Solutions is a consultant for U.S. and foreign corporations embarking on plans to increase their market share through acquisitions, government and commercial contracting, technology transfers and licensing agreements.   Approximately 35% of GMD Solutions' client mix is in aerospace/defense.  The rest is commercial.

M2 Global and GMD Solutions will jointly market their combined services in the consulting market arena.   M2 Global Solutions has previously marketed its consulting services through word-of-mouth contacts in the industry.

Local Ties

Under the M2 Global Inc. umbrella is M2 Global Technology, which operates a factory in Northwest San Antonio that custom builds precision components used in transmitting equipment, satellite links for wireless products, high-definition television broadcast equipment and communications systems for the Department of Defense.

Local investment group M2 Global Inc. also owns M2 Global Solutions, a consulting firm for manufacturers.   That is the unit that will work with GMD Solutions in the consulting arena.

Ronald Carlberg, the executive vice president of GMD Solutions in Virginia, is the older brother of M2 Global's chairman, Douglas Carlberg, and is a member of M2 Global's board of directors.  But beyond the family ties, the older Carlberg says that his brother's expertise in lean manufacturing led to a formal strategic alliance.   Executives at GMD Solutions forged the alliance with M2 Global, in part, because of Carlberg's track record in manufacturing circles.

Douglas Carlberg launched the M2 Global Technology factory in 1999 after purchasing the local component assembly operations from Melbourne, FL based Harris Corp.  (The Harris plant still assembles microwave radio equipment, but contracts out most of its sub-assembly work to third-party suppliers.)

Carlberg has built a reputation in industry circles as a man who is proficient in managing efficient manufacturing plants.  In fact, he earned numerous awards during his eight years at the Harris Corp. plant in San Antonio as its vice president of operations.

Carlberg formed M2 Global Inc. on the foundation of manufacturing knowledge he acquired at Harris.  But in order to convert some of that intellectual capital on production methods into a successful venture, Carlberg created M2 Global Solutions 2½ years ago.  He started the company with just a handful of employees.

We bring in lean supply chain management (experience to the table)," Carlberg says.

M2 Global Solutions and GMD Solutions are in the process of notifying their respective client bases before marketing their consulting services aggressively worldwide.   M2 Global Solutions serves as a consultant to locally based Operational Technologies Corp. and also to California based electronic components contract manufacturer Sanmina Corp.

"It used to be that companies could rely upon the domestic market; it was that huge.  The global marketplace is becoming the marketplace," Ronald Carlberg says.

Track Record

GMD Solutions employs 10 full-time consultants and regularly taps between 30 and 40 outside consultants to work on individual projects on an as-needed basis.  GMD Solution's client base consists of a core group of some 30 national and international companies including, Booz, Allen & Hamilton; Kawasaki; Maxwell Technologies; and United Health Care Inc.

M2 Global Solutions has five full-time consultants and commitments from 10 individuals who will make themselves available to work on projects.  However, Douglas Carlberg says that as its case load grows, additional consultants will be hired or brought in to work on specific projects.

The two firms do not have a targeted client base for the manufacturing consulting services.  However, Ronald Carlberg alluded to preliminary talks he is having with Estee Lauder on some its product lines that could translate into work for M2 Global Solutions.

The senior Carlberg adds that manufacturing support was something that his clients had been requesting.   Having the strategic alliance with M2 Global Solutions only adds to GMD Solutions' capabilities, he says.

Both companies have the option of sub-leasing office space in either San Antonio or Alexandria, if business growth dictates.

The world of manufacturing is constantly changing to adjust to global markets and companies are relying on the expertise of consultants to help them make the transition, those in this field say.

Gary Bailey, founder and president of San Antonio-based competitor BEC Corp. (formerly Bailey Engineering Consultants), says most of BEC's clients either are seeking ISO certification in order to compete in the global market, expanding into new product lines or reassessing their overall position in the market by pinpointing ways to cut costs internally.

Another possible reason for the marked increase in consulting in this sector is from embattled technology firms whose stock prices are taking a beating on Wall Street.  There are those in the industry who say that as new companies work to gain market dominance, they will need the necessary resources to grow effectively.

©Copyright 2001 American City Business Journals Inc.

Contact Information

Douglas F. Carlberg
President / CEO
M2 Global, Inc.
E-Mail:  Doug Carlberg
Ronald L. Carlberg
Executive VP
GMD Solutions, Inc.
E-Mail:  Ronald Carlberg

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