Supply Chain Tax Strategies

A&M’s Supply and Value Chain Strategies practice helps Clients transform their operating models and supply chains for growth and/or margin improvement to deliver sustainable, after-tax results.

Our team helps Clients stay ahead of the curve on transformation strategies, bringing cutting-edge and unique experience to ensure these strategies are tax informed, financial benefits are sustainable and scalable, and risks are managed.

Our services include assistance with direct and indirect tax, supply chain, intellectual property, transfer pricing, trade and customs, information technology, and organizational and legal entity design.

How Can Value Chain Strategies Affect Operating Model Effectiveness?

Maintaining an efficient tax structure along the supply chain and associated entities helps keep multinational companies competitive in an increasingly intricate global economy. Companies can experience a drag on liquidity or higher exposure to risk if tax planning and compliance are not managed effectively.

Major shifts in business strategies, global regulations and economic realities can affect your organization’s global value chain, requiring nimble or transformative approaches when conditions change. Any number of events that affect a company’s value chain also come with tax impacts.

Faced with changing stakeholder interests, today’s corporate leaders not only need to limit tax liabilities, but they also are required to consider new standards and measures to increase transparency, mitigate risk and capitalize on creating value at the same time.

As value chains change, they can affect customs and a list of other tax-sensitive areas. Similarly, transforming end-to-end procurement can create opportunities to improve intellectual property structures, reevaluate transfer pricing policies and diversify suppliers.

What Are the Benefits of an Efficient Value Chain Strategy?

Companies faced with evolving international organizational structures have had to reassess their end-to-end supply chain and manage new tax implications that threaten to erode return on investment. Inefficiencies can prevent organizations from realizing significant cost savings and reductions in tax liability. Shifts in global strategies impact the supply chain, and with the changes come new markets, business models, functions, and sourcing locations.

Leading companies that embed tax planning in business-led transformation drive revenue growth and global cost savings while mitigating inherent risks. Conducting a value chain analysis and applying a tax mindset can optimize the supply chain, improve cash flow, and rationalize legal entities to capture administrative savings and create more tax efficient structures.

As supply chains are impacted by global changes, economic disruption and expanding business needs, your tax strategy should also change. Understand what to change and how requires knowledge and expertise to design and maintain an efficient supply chain tax profile. 

A&M helps to analyze and identify optimal strategies that can drive benefits including simplification of transfer pricing, direct and indirect tax savings, and reduced customs and duties costs.

How A&M Can Help?

As part of comprehensive value chain management and improvement process, we can assist with an overall plan to meet your global tax obligations efficiently. Some of our associated services include:

Business Model Transformation

Assessing, designing, and implementing evolving operating model and tax structures into the way your business operates creates additional value through business transformation.

Evolving Supply Chains 

Supply chain evolution, driven by changing costs, regulatory, and economic forces, is creating the need to enable quick decisions. Our team can assist in evaluating supply chain changes and related tax impacts and identifying opportunities for supply chain models to drive increase tax efficiencies.

Intellectual Property Planning

Changing intellectual property (IP) footprints and increased pressure from the OECD BEPS initiative is driving companies to reevaluate previous IP planning decisions. Our team can help evaluate current structures and identify opportunities to address risks and drive financial benefits through IP planning.

Digital Initiatives

Evaluating and advising on tax considerations and opportunities generated by digital initiatives can have a potential impact on product development, manufacturing, digital innovation in the supply chain, IP structures (new or existing), expanding e-commerce or transitioning to an omnichannel model.

Centralized Procurement

Assessing the tax implications of strategic procurement models and opportunities can drive additional financial benefit through procurement related functions.

Why should you use A&M’s Supply and Value Chain Service?

What differentiates A&M Tax is our capability to team with our Corporate Performance Improvement practice to focus beyond tax and see the bigger picture when recommending operating model / supply chain efficiencies. Additionally, we help Clients by providing:

  • Knowledge base: A&M’s Supply and Value Chain Strategies team is comprised of a global team of specialists with expert knowledge of the tools and processes to streamline tax structures throughout the value chain. 
  • Client-focused approach: We collaborate with Clients from day one to tailor the tax operational structures needed to improve their supply and value chain.
  • Global expertise: Our professionals span the globe and have regional expertise Clients can tap into immediately. 
  • Proven process: Our multi-disciplined team of attorneys, CPAs and tax experts understand all facets of supply chain management and how a tax-related approach can improve the value chain for Clients.

 

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Supply Chain Services

We help integrate business strategy with supply chain performance to improve operating margins and working capital, drive operational excellence and manage enterprise risk.

Digital & Technology Services

Technology should be a strategic enabler for your company, driving successful performance across the enterprise. We help you realize maximum value from your technology investments and help solve your biggest, most complex technology problems.
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