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Cash on the table 2012 - EY - Global

Cash on the table 2012

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Those CP companies seeking further WC gains will need to embrace more substantial changes to the way they do business.

Our annual working capital (WC) report found that the leading 20 CP companies have up to US$40b tied up unnecessarily in working capital.

Our report is based on the WC performance of 20 of the largest branded CP companies (by sales) headquartered in the US and Europe and operating in the segments of brewing, food and beverage (F&B) and health and personal care (HPC).

Take a closer look at our findings:

For the consumer products (CP) industry, 2011 was a particularly challenging year, marked by economic and financial instability in Europe, sluggish consumer demand in North America, robust but softening growth in emerging countries, and high commodity prices.

Against this difficult landscape, CP segments have fared very differently in terms of WC results, in sharp contrast with the widespread success of 2010.

Those CP companies seeking further WC gains will need to embrace more substantial changes to the way they do business.


These include:

  • Improving collaboration with retailers
  • Optimizing global sourcing
  • Implementing better integration between sales, manufacturing, procurement and supply chain processes
  • Adapting WC strategies to emerging markets conditions
  • Exploring new financing initiatives
  • Driving WC synergies to make acquisitions more successful
  • Managing risk more rigorously and effectively in the supply chain

Contact one of our professionals today to find out how we may be able to help you improve WC.



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