The importance of cost efficiency
In a context in which a large part of the companies had not yet recovered from the effects of the Covid-19 crisis, more clashes have appeared threatening their economic sustainability and cash flow. On one hand, there is the conflict between Russia and Ukraine, which has brought its consequences, on the other hand, the increase in the price of raw materials and electricity, which we have already dragged on since 2021 and which has been getting worse, and finally the inflation increase caused by this rise in raw materials. According to the new edition of the Intrum European Payments Report, inflation is limiting the growth of 55% of Spanish companies.
This same report also highlights that 5 out of 10 companies recognize that they do not have the necessary capacity to manage the impact of such a significant rise in prices on their business. 6 out of 10 Spanish companies admit that, due to inflation, it is increasingly difficult for them to pay their suppliers, and 58% of entities are being more cautious with their spending and borrowing plans due to the rise in interest rates.
One of the reasons why these difficulties exist in European companies is due, according to the Intrum study, to the fact that 51% of surveyed people do not have the experience or the ability to adapt and/or anticipate necessary to correctly manage problems. Taking the step to seek professional advice can make the difference between achieving operational excellence or not achieving it.
Operations excellence is the key to competitive advantage in many markets. Having a good service level, quality and adjusted costs depends on the efficiency and effectiveness of operations. At DOT Consulting, our main objective is to support our clients to achieve operational excellence throughout the entire value chain: from the moment of designing the product or service to production, logistics, maintenance, sales and customer service, administration and corporate services. Enabling customers to improve agility and efficiency at each stage of the value chain is very important to us in order to remain competitive, while reducing or restructuring their costs.