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In light of continuously increasing pressure on the market due to costs, it is becoming more and more difficult to reach targeted rates of return based on the amount of capital invested. Liquidity associated with current assets often lacks drastically in year-end results.

According to estimates, the 1,000 leading European companies alone have working capital potential of more than 500 billion euros that is just waiting to be raised. Although, best-practice companies do not have the aim of financing their business though their suppliers. In fact, by means of balancing payables and receivables while optimizing inventory levels, smooth operations based on partnership are made possible which optimizes the cash conversion cycle (CCC).

 
 
Typical starting points are
  • Liquidity shortages and dependency of banks or investors
  • Increasing credit risk due to overdue receivables
  • Shortage of space due to high levels of inventory unrelated to delivery dependability

 

Competencies of candidus
  • We develop best-practice concepts along with you to reduce working capital quickly and in a sustainable manner.
  • We set a balance between payables and receivables while ensuring an optimum level of inventory.
  • Along with your team, we aim at systematically generating quick wins in the shortest time possible in addition to attaining sustainable results by customizing structured processes.

 

 

 

Select references
Rail industry

Global working capital project with a focus on payables and receivables
General results:

  • Reduction of working capital by 60 %
  • Reduction in overdue receivables by 45 %
  • Rise in payables by 20%
Food industry

Globales Global working capital project with a focus on payables and receivables
General results:

  • Reduction of working capital by 37 %
  • Reduction in overdue receivables by 56 %
  • Rise in payables by 15%
Automotive supplier

Working capital project with a focus on reducing inventory
General results:

  • Reduction of working capital by 45 %
  • Reduction of inventory by 40 %