Change with impact

Net working capital

Release money tied up in net working capital

By reducing the net working capital (NWC), you release funds for investments and new growth opportunities. Beyond these effects, NWC reduction will also improve logistic processes and increase your stakeholders’ enterprise value.

Net working capital

The primary goal for Operations is to ensure ‘seamless delivery’. However, as many operations managers know, this is a constant trade-off between lead time, manufacturing costs and quality. And it calls for sufficient capacity and inventory. But if you tie up too much working capital and inventory, your operational performance declines, and you might not have enough funds to invest in new growth opportunities.

We help companies through conceptual design and by optimising:

  • Value stream borders – up/downstream value activities (sourcing)
  • Product platforms – complexity reductions and standardisation (group technology)
  • Speed – reducing lead times in the supplier network and in own operations (responsiveness)
  • Planning of stock – establishing buffers towards market delivery requirements and unpredictable demands (strategic stock)
  • Slow-moving stock – eliminating wrong planning decisions and establishing a task force to boost extra consumption (extraordinary campaigns)

Featured clients

Brødrene Dahl
Implementation of Lean Warehousing
After a period of massive growth in the level of activity, the market-leading wholesaler experienced a slowdown in the market, which is why focus was put on efficient cost management and, deriving from this, the need for optimisation and trimming of processes

Articles

  • Performance Management – Breaking the code

    How the right performance metrics can drive profitability in your organisation. In the changing world of management, full of acronyms and buzzwords, it is encouraging that, after all, there are still concepts with so much substance to them that they are just as relevant today as they were 10 or 20 years ago. However, they are often underestimated – perhaps because they are so obvious.

  • Bringing performance management alive

    Targets and benchmarks are essential. Without knowledge of our starting point and which targets to meet, we lose focus on the desired effect and risk carrying out a project only for the sake of the project. Therefore, this article brings up the subject as to how we bring performance measurements alive in an organisation.

Implement Consulting Group