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Please see table 7 to rEEspOnse to this finance QUEstiOon: Assume you are a consultant brought in to assess the company: In your opinion, what

Please see table 7 to rEEspOnse to this finance QUEstiOon:

Assume you are a consultant brought in to assess the company:

  • In your opinion, what operational and financial charges need to be made to improve SealTek's operational and financial performance? Why?

Response structure: take these under consideration when you wriTtEE your response:

  • You have only 1 paAgeEfor analysis and recommendations of your response. That means you need to integrate words with numbers (drawn from the tables, and others you might create), graphics, tables- whatever you need to communicate your recommendations and why as coherently and effectively as possible.
  • As a consultant you need to be very clear to Giri Saha why whatever changes are needed
  • The numbers generated in the worksheets (that follow your writeup) should be used to support and define your recommendations.
  • Do not use bullet points; you need to represent compleEte and coherent ideas and sentences
  • Do not cut and past the tables attached ( i can read those for myself)
  • Do not say things like "see Table 3..." Site specific numbers to make your point
  • Structure your writeups, looks for linkages between concepts, and edit your writing.
  • Writing and communication quality matters.

image text in transcribed
TABLE 7 SealTek Fittings (India) Benchmarking 2010 Performance Company Company Company SealTek A B Working Capital Management Days Sales Outstanding 55.1 38 41 40 Days of Inventory 62.1 44 39 38 Days Payables 35.2 36 34 35 Use of Debt Financing Debt / Total Assets 0.38 0.26 0.21 0.25 Debt / Invested Capital 0.47 0.31 0.35 0.29 Debt / Equity 0.90 0.65 0.59 0.52 Returns on Sales and Capital Gross Profit Margin 24.9% 28.0% 24.6% 25.3% Return on Sales 3.7% 14.2% 7.7% 12.1% Return on Invested Capital (ROIC) 14.3% 23.2% 17.3% 21.9% Return on Assets (ROA) 7.7% 14.3% 10.1% 15.9% Return on Equity (ROE) 18.2% 29.5% 22.5% 27.4% Benchmarking provides a different perspective on the performance of the firm. Whereas all the previous worksheets and statements analyzed the company from its own results over time, benchmarking compares selective measures and metrics against comparable firms in the Publicly traded firms are constantly benchmarked by the firms, analysts, and all participants in the public equity markets. Privately held firms, however, due to their lack of reporting and transparency, are often fail to utilize benchmarking sufficiently to assess their own performance on an on-going basis

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