Supply Chain Strategy and Financial Metrics by Bram DeSmet

Author:Bram DeSmet [Bram DeSmet]
Language: eng
Format: epub
Publisher: Kogan Page
Published: 2018-04-20T16:22:28+00:00

For company 1 we see a deep dip, caused by the financial crisis, a recovery, and then a gradual shift right, where EBIT is clearly lagging below target. Company 2 has been slightly recovering from a lagging performance for almost 10 years. Its current pressure on inventory may be too high and be a risk for the turnover and for the EBIT.

The performance of company 3 has been gradually degrading. Its exceptional performance in the period 2004–07 has been driven by significantunderspending. It may still be paying the price for that period of underinvesting. Company 4 is steadily moving left, but the EBIT is not following suit.

Company 5 has been swinging between turns of 6 to 7. Its EBIT has gradually degraded. Company 6 has been even more consistent in its turns, but has almost literally fallen off the chart, starting from EBIT levels of around 5% to consistently negative EBIT levels. The general picture is one of a sector under pressure. There’s not a lot of good news among the six companies!

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.