• Posted on: November 1, 2013 by: CashPerform

    Customer Name: xxxxx

    Customer Industry:  Logistics and major European Parcel Carrier

    Year of Training Delivery: 2009- 2013

    Target Audience: Depends upon business unit of xxxx but make up has included:

    Financial Controllers, credit managers, supplier/procurement directors, depot/branch managers, reporting accountants, systems architects, logistics directors.

    Recent audiences have included European directors with a strategy driven by working capital management.

    Business Issue: Being a Blue Chip European Corporate shareholder value through sustainable cash flow was/is key. They required narrative, action plans that reflected the actions being taken to address shortfall in pensions, VAT issues, purchase of new aeroplanes, opening up of new routes, managing major customers like the NHS.

    The narrative was included in their Interim Management Statements and in the letter to Shareholders and reflects the work we have done. These are available on their web site.

    Solution:

    Culture change regarding payment to suppliers.  Payment in full on agreed timescales.

    Evidence based cash conversion cycles for contracts reviewed and actioned regularly

    Cash collection delivered by pre-emptive work by credit control and sales with the customers

    Strategy regarding systems implementation

    Generation of monthly working capital reports that reflected KPI/KRI  and identification of liquidity gaps and funding chasms.

    Outcome: Banking arrangement renewed. New loans funded.

    Banks and markets reassured of credible robust cash flows through efficiency improvements in working capital particularly receivables and payables.

    Share price steadily improving.