Cash and Working Capital levels are vital for companies. During a downturn period – while struggling with rating agency downgrade, “bad” media image or just with falling sales and difficult markets cash and working capital will be always high up on the agenda. But also over flourish times for running “business as usual”, in case of acquisition or major capex, levels of cash and working capital will be closely watched and given high priority.
We work with clients across the whole spectrum from healthy to distressed situations when there is a specific trigger for cash. We support our clients over the whole of their cash agenda from the initial identification of an opportunity through to supporting them in the release of the cash and ensuring that this improvement is sustainable.
We help our clients to understand what the right level of working capital is within each of their country operations and/or business units and the improvement potential that is available.
In our experience, driving sustainable working capital performance improvement requires a cash mindset throughout organisations that have often been focused on growing revenue and margin, sometimes at the expense of cash. We help our clients to instil a cash mindset across their organisations and to manage the tradeoffs inherent in an agenda covering cash, revenue and profitability in a constructive, collaborative and co-ordinated manner.
We work with senior management in achieving sustainable receivables, payables and inventory reductions across all geographies and all industry sectors. In addition to providing our clients with insight into specific drivers of working capital performance and the impact of country payment cultures, our team also acts in a hands-on capacity to support the introduction of leading practices to support sustainable performance improvement.