Contrary to popular belief, serial acquirers create less value on average than companies that rarely do M&A, according to a BCG analysis of more than 26,000 deals. But the top serial acquirers generate superior value by focusing on the right targets at the right time. Contributors: Jens Kengelbach, Dominic C. Klemmer, Dr. Bernhard Schwetzler, Dr. Marco O. Sperling, Alexander Roos.

Many companies are concerned about their ability to generate the funds needed for growth. But there is one potentially powerful source of cash that is often overlooked: working capital. By fundamentally rethinking and streamlining key processes across the value chain, companies can achieve greater reductions in working capital—as much as 30 to 40 percent—and cost savings of 5 to 10 percent. This increase in working capital productivity can boost cash flow and sharply reduce a company’s dependence on outside funding.

Alliances have become an increasingly important part of corporate strategy. They can be extremely useful in situations of high uncertainty and for growth opportunities that a company either cannot or does not want to pursue on its own. But the advantages of shared risk are often offset by unclear governance and lack of genuine commitment. This report distills lessons about alliance strategy and management drawn from recent client work and research by the Corporate Finance and Strategy practice of The Boston Consulting Group.

Companies that are avoiding mergers and acquisitions in an economic slowdown may be missing a major strategic opportunity. According to this study by the Corporate Development practice of The Boston Consulting Group (BCG), mergers that take place during periods of below-average economic growth have a higher likelihood of success. And they generate considerably more shareholder value, on average, than deals taking place during periods of above-average growth. The study analyzes 277 M&A transactions that took place in the United States between 1985 and 2000.