President, Mining Company:

“As a mining organization, Working Capital had not been a primary area of focus. The Highland Group not only opened our eyes to the impact of reduced working capital but also assisted us in achieving a substantial reduction. Areas impacted include Accounts Receivables, Accounts Payable, Finished Goods, and Materials & Supplies. The Highland Group provided knowledge, leadership and coaching for our people. Working Capital management is now a more prominent part of how we run our business.”

Since we began operations in 1991, The Highland Group has acquired best-practice knowledge and provided consulting services in the working capital management. We have worked in aspects of working capital all over the world. We have engaged with the leading companies on 6 continents in and have on staff some of the leading practitioners in working capital reduction. 

At The Highland Group, we understand the issues facing companies like yours.

Tight availability of credit Increasing cost of cash acquisition Slow and delayed receipt of sales revenue Excessive inventory in supply chain Low turnover of MRO inventory

 





Working Capital Questions executives need answered today

Area of Focus	Typical Client Issues	Potential Scopes of Work
A/R	•     Is our aging in control, are we collecting sales revenue in time. •      Is the Invoicing transition cost appropriate •      Do we resolve any customer disputes in time and do these disputes cause delays in receiving payments •     Are our internal processes, procedures, Policy & Practices effective •      Do we offer appropriate “terms & conditions”	•         DSO Analysis •         Collections activity and associated cost •         Terms & Conditions review •         Dispute management •         Invoicing process (Customer order to cash)
A/P	•      Are we getting the best “terms & conditions” for our purchasing? •      Are we availing all appropriate discounts? •      Is the A/P transactions cost  appropriate •      Are our internal processes, procedures, Policy & Practices effective? •      How well are your contractors being managed? •      Are you leveraging your contractors to support production peaks and valleys and special services?	•         DPO Analysis •         Receivables activities & cost •         Vendor Terms & Conditions review •         Payment cycle/process (Purchase  to Pay) review.  •         Contractor Evaluation & Cost Reduction •         Contractor Resource Rationalization •         Contractor Management Process and Performance Measure Development & Implementation •         Sourcing Strategy Development
M&S  / MRO	•     How effectively M&S function supporting the production and maintenance activities? •     Is there a procedure in place to evaluate M&S / MRO spend? •     Does the existing IT system support M&S / MRO work fully? •      Is the M&S function effectively supporting equipment availability goals? •      Are the M&S / MRO supplies at the appropriate level?	•         MRO (M&S) stock analysis •         Practices and procedures and policies for M&S / MRO product stocking levels •         Maintenance Procedural Review •         MRO (M&S) items procurement cost review •         Maintenance System for Managing Development & Implementation •         Associated IT System Evaluation, Integration, & Implementation
Inventory Management	•      Are the inventory levels at the appropriate level? •      Is our F/G inventory in-sync with demand? •      Is our customer service level acceptable? •      Do we use the right tools & techniques for inventory management? •      Are there systems in place to manage the Supply Chain process from beginning to end?	•         Demand management •         Inventory levels and associated tools & techniques for inventory management. •         Customer service levels and  inventory positions. •         Supply Chain Evaluation •         Supply Chain Optimization •         Supply Chain Planning