With pressures on companies arising across the board, corporate overhead is often the first area of spending to be targeted with outsourcing, off-shoring and headcount reductions. The efforts aimed at Finance, IT, HR and other corporate functions, bring spending caps and headcount freeze, which are quickly imposed.
Often, costs are duplicated, separately accounted for, or obscured across multiple business units within the corporate center. As a result of corporate divestitures, mergers and acquisitions, the resulting corporate overhead and services are poorly aligned with the operating business. Building and operating a sustainable business requires that the company align its overhead with value creation, eliminate bureaucracy, and ensure appropriate control and management of the business.
Since 1983 , Alvarez & Marsal has brought deep operational insight and experience to driving costs from stressed and challenged companies, and reducing the outflow of cash in times of financial stress. A&M now brings that very same approach to performance improvement within underperforming organizations, balancing the essential need for controls, accounting and sound governance, with requirements to maximize profitability and build sustainable businesses for the long-term.
Our Performance Improvement professionals work alongside management, and / or serve in interim management roles, to create a sense of focus and urgency, while developing and executing comprehensive overhead reduction and right-sizing programs aimed at driving improved operating margins, cash flow and EBITDA across the business.
Our Overhead Optimization services include: