The study by Roland Berger entitled Cash 4 Growth reveals potential of more than EUR 400 billion in top European industrial companies Roland Berger found major improvement levers in fixed and current assets.
The study revealed overall potential in excess of EUR 400 billion for the companies surveyed. About 20 percent of this amount is tied up in inventories, one third in receivables and payables, and roughly half in fixed assets. Based on Roland Berger's experience in realizing cash for growth, about half of the overall potential, or EUR 210 billion, can be realized fast, depending on the general framework and within given ranges. The strategy consultant firm estimates that about 60 percent of this short-term potential is in receivables and payables, 25 percent in inventories, and 15 percent in fixed assets. Very ambitious companies aim to realize up to 80 percent of the total potential identified.