EY helps clients create long-term value for all stakeholders. Enabled by data and technology, our services and solutions provide trust through assurance and help clients transform, grow and operate.
At EY, our purpose is building a better working world. The insights and services we provide help to create long-term value for clients, people and society, and to build trust in the capital markets.
In virtually all industries today, companies are determining the best path to navigate geopolitical uncertainty and sector disruptions. Time is of the essence. Business leaders must consider and implement immediate actions for long-term success.
EY Rapid Value Creation services bring the breadth of our capabilities to help you reduce your costs and improve margin and liquidity, driving measurable results to reshape and transform your business.
Creation
Rapid Value Creation
Preservation
Turnaround
Recovery
Restructuring
Indicators
Revenue stagnation
Growing selling, general and administrative expenses
Declining earnings before interest, taxes, depreciation and amortization (EBITDA) margin
Reduced share
Declining revenues
Negative profits and cash flows
Bonds trading at a discount
Working capital constraints
Profit warning
Debt covenants at risk
Technical default
on debts
Insufficient cash flows
Organized or disorganized bankruptcy
EY value proposition
Fast impact
Targeted approach
Sustainable value
Proven track record of maximizing value
Hands-on support from seasoned professionals, including interim management and contract research organization services
A “future-back” perspective, incorporating a customer impact and investor lens
Broad, integrated offering with full suite of industry, functional and operational capabilities
Pragmatic and sustainable answers, not “slash and burn” strategies
Promotion of a collaborative methodology to identify real opportunities with a focus on long-term value creation
Addressing your cost and capital needs today to fund your future for tomorrow
SG&A and operations
How can I streamline my business to be more cost efficient and resilient to fluctuations in revenues?
Operating model: 35% of large companies say they are making good progress in their digital transformations.
Labor productivity: 70% of organizations believe that productivity is a concern with remote working.
Third-party spend: 50% of Fortune 100 companies' expenditures involve third parties.
EY employs leading practice tools such as ZBB to identify which cost levers a company should pursue to maximize profitability.
Revenue and margin
What opportunities exist to optimize products and customers to drive topline growth and gross profit?
Cost of goods sold: 41% of companies accelerating plans to automate as a result of the coronavirus. Source
Price and promotions: 20% of manufacturer revenue invested on trade promotions. Source
Customer demand: 75% of organizations selling direct to consumers will offer subscription services by 2023.
Capex and cash
How can we free up capital from operations that can be redeployed for growth or for a stronger balance sheet?
Working capital: 5% of total revenue, average amount of working capital carried by companies.
Capital portfolio: 3%-5% of total revenue, the average real estate costs at most companies.
Tax savings: 25% of total personnel expenses, the average indirect tax burden at most companies.
Contact us
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In this episode, Jeff Reid and Abhijit Ahluwalia of EY organization talk with Jesse Grissom, Americas CFO of Kao Corporation, a multibillion dollar global consumer products company.
Implementing ZBB as a strategic initiative
In this episode, Abhijit Ahluwalia, Jessica Weaver and Aaron Cheng of EY organization have a conversation with Bethany Wolfe, Americas Zero Based Budgeting Program Leader of Kao Corporation, a multibillion dollar global consumer products company about how they are adopting ZBB to fund their future.
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EY-Parthenon professionals recognize that CEOs and business leaders are tasked with achieving maximum value for their organizations’ stakeholders in this transformative age. We challenge assumptions to design and deliver strategies that help improve profitability and long-term value.