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Improved earnings in crisis situations like Corona

Improved earnings in crisis situations like Corona

April 3, 2020

Our Covid-19 Performance Improvement Program can stabilize your company long term

The Covid-19 Performance Improvement Program from Roland Berger helps you permanently improve your company's earnings position with immediate, medium-term and ramp-up actions.

Immediate actions: We'll identify measures with an immediate effect on liquidity and EBIT. In the situation we're currently in, these will typically involve getting rid of contractors or temps and putting the workforce on short-time work temporarily. Then there are other measures that may be appropriate, such as shuttering plants, freezing CAPEX and implementing strict working capital management. Our experts will work closely with you to develop an individual catalogue of measures with quantified effects and define a pragmatic implementation roadmap for the initiatives.

Ramp-up actions: After the crisis mode is over, the ramp-up – when you gradually build back up to normal business operations – is a crucial part of ensuring your lasting success going forward. It includes closely aligning with all stakeholders along the entire value chain and tightly controlling production capacities and processes.

Medium-term actions: Given the uncertainty over exactly how this crisis is going to play out, medium-term actions will need to be taken to secure your company's ability to operate. We will use the knowledge of what is happening in the course of the coronavirus crisis to make your business model more fit for the future and identify the changes you'll need to make. Measures like adjusting the company's degree of vertical integration and the global footprint or actions such as insourcing central function could make sense, but they require a well-founded analysis of the strategic implications.

We'll support our clients in developing and implementing the Covid-19 Performance Improvement Program throughout all phases of the crisis. You will get the benefit of our years of experience from more than 2,000 projects successfully conducted across all industry verticals. We will be happy to offer you complete project management including all the relevant tools, giving you everything you need for successful delivery of the program.

"Industrials will need to be properly prepared for ramp-up to safeguard their earnings position long term."
Portrait of Gerd Sievers
Gerd Sievers
Senior Partner
Munich Office, Central Europe
Further Reading
Portrait of Gerd Sievers
Senior Partner
Munich Office, Central Europe
+49 89 9230-8543