ABTF competence area: Finance
Current situation in the industry
According to our professional experience, based on some studies on cost management, including studies isued by the auditing firm PricewaterhouseCoopers in 2007, the Accounting and Controlling is one of the most important areas. Almost one in three companies in the automotive industry recognizes the need to improve processes and IT-based tools in accounting and controlling. Furthermore, the need to strengthen the cost-consciousness of employees is visible. About 2/3 of the surveyed companies practice cost management more reactive than proactive, with a focus on cost control rather than cost management.
As a result of increased pressure on margins, increased value added at different plant locations and increased development input the equity position is tense with many suppliers, so that external market risks often cannot be mitigated adequately. In connection with the financing still the use of a traditional bank loan, stressing the credit line as well as the use of "expensive" supplier credits prevail with many medium-sized suppliers. Alternative financing instruments such as factoring, leasing, mezzanine, Supply Chain Finance (SCF), off-balance sheet financing, etc. are so far hesitantly used. Potential in the reduction of capital employed as premises, inventory and accounts receivable, which could strengthen the self-financing capacity of the company are idle.
Common reasons for this are:
- Certain fear to take the necessary reorganization efforts with regards to the adaptation of business models and processes
- Scarce staff resources and lack of expertise, actually making an external support necessary
Our expertise and our range of services
Controlling is understood today as a modern management concept for the holistic, "value-oriented" corporate management. Here, the controlling uses among others the traditional support functions such as accounting, product costing and IT in order to meet the information requirements and the creation of business transparency.
However, the best controlling instruments are useless if they are not anchored in the corporate culture and adapted to the respective organization. There are no "off the peg" controlling systems available, they rather must be
- Aligned to the respective business model and its success and risk factors
- Linked to the incentive and compensation system
- Accepted among managers and employees.
By the relevant hands-on-experience of our ABTF-experts with many years of professional and management practice in the areas of "Finance, Controlling and Organisation" within the automotive and mechanical engineering industries, we can provide you with comprehensive support from short analysis to conception to implementation and know-how transfer.
This includes the following range of external services:
- Time limited transfer of line tasks such as CFO, commercial manager, Head of Controlling, Head of Finance & Accounting, Head of Business Development in various corporate situations such as growth, recession or crisis, as well as company succession
- Takeover of project management / participation in mixed project teams
- Optimize the organization and processes (including redesign of the business models and value creation structures, improving the planning and forecast processes, the functional controlling in areas such as development, purchasing, production, sales, service)
- Establishment of Profit & Service Centers, internal cost allocation on service level agreements, establishment of service pools, known as shared service centers, etc.)
- Implementation of new strategic and operational information and control and risk management systems (eg, Cash Flow Management, Balanced Scorecard)
- Cost and capital bond reduction (e.g. target costing, working capital & fixed costs management)
- Restructuring after corporate imbalances
- After acquisitions, so-called "post-merger integration"
- Implementation of an effective shareholder management of subsidiaries
- Optimize the financing structure (restructuring of liabilities in the balance sheet if necessary using alternative financing instruments)
• Taking over advisory and supervisory board mandates
In terms of a sustainable corporate management, we pursue a holistic, value-oriented management approach focusing on the key performance measures
- Price / Cost
Our financial and controlling experts are no young theorists or "few hours' standing" graduates but seasoned, experienced practitioners and implementers who have the necessary technical and methodical tools and have above all the appropriate social and leadership skills. They are "all-terrain" in different corporate cultures and free of career interests and "internal cliques" as well.
We provide knowledge and experience for flexible, entrepreneurial commitment – right from the start!
As a leading industry specialist for professional interim management "in line" and "in projects" in the automotive industry with ABTF you obtain effective, efficient and sustainable solutions!