Consulting Project: Constantia Flexibles
Constantia Flexibles is one of the world’s leading manufacturers of flexible packaging. With 8,400 employees, the company turns over €1.7 billion in 115 countries.
The aim of the project
Generating cash and increasing liabilities, improving local and group-wide payment conditions by setting clear objectives and instructions, improving communications for group suppliers and improving the exchange of information between factories.
Due to the historic independence of each factory, there was a lack of clear rules for calculating and implementing working capital, and it was given varying degrees of priority across the sites.
- Harmonising payment methods and analysing suppliers by category
- Reviewing suppliers and their payment terms, negotiating new contracts in cooperation with the factories
- Negotiations with suppliers based on standardised negotiation guidelines, as well as INVERTO’s own argumentation aids distributed by the relevant supplier managers at group level or by local managers
- Implementing new payment methods in the appropriate IT systems
The objective of the project was achieved in full. Discount effects generated cash and extended payment terms significantly increased liabilities and improved the company’s