Business Intelligence

Doing More With Less: Increasing Fixed-Asset Productivity In The Downturn And Beyond

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Executive Summary

When companies need to generate cash quickly, they target inventory, accounts receivable, and accounts payable. Although these components of working capital are often a critical source of cash, even more capital is typically tied up in fixed assets. By rethinking operations, revisiting how funds are allocated, and shedding unneeded property, plants, and equipment, companies can sharply improve the productivity of their fixed assets, generating cash in the near term and a sustainable advantage over the medium to long term.

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