Services

Value Chain Alignment (inc Customs & GTA)

Align operating models and tax strategy to support profitable growth

The alignment of functions, assets, and risks along the value chain has a significant impact on a company's tax burden. Deloitte Tohmatsu's Value Chain Alignment (VCA) professionals help multinational companies build sustainable, tax-advantaged supply chains for growth by integrating the companies’ operating models (or value chains) and global tax strategies to provide optimal value. With extensive experience in value chain tax advisory services, intellectual property advice, and global tax strategy formulation for direct and indirect taxes, we help clients make effective decisions that also take into account after-tax earnings impact. Our offerings also include risk analysis, risk response, and effective management of detected risks.

Aligning a multinational’s operating and business model with its global tax strategy is an important element of profitability and shareholder value. Yet, doing so is challenging given ever changing laws and regulations affecting how companies manage and report tax, and increasingly unpredictable disruptions to supply chains. Deloitte Tohmatsu’s Value Chain Alignment (VCA) services can assist with these challenges and support business transformations. We can assist leaders in understanding the tax implications and options available to them, helping capture value created from the business transformation as leaders seek to harmonize business strategy, tax strategy, and operational risks.

A holistic approach to Value Chain Alignment

Deloitte Tohmatsu’s VCA methodology begins by analyzing your organization’s operating model, including key business processes and location of key assets and personnel; information systems; and tax and legal structure. Deloitte Tohmatsu teams will identify opportunities in the business model analysis phase, including preliminary tax and operational impacts, that business leaders can review against their business strategy.

When a deeper VCA project is appropriate, phase 2 is a design phase when Deloitte Tohmatsu specialists and business leadership work together to develop a detailed, tax-efficient operating model. Depending on the value chain opportunity identified, this may include realigning supply chain components, reconfiguring technology systems, readying workforce models, and reorganizing tax and legal structures to support the prioritized future state operating model. Typically, we will collaborate with you to use data analytics, advanced modeling, and artificial intelligence to assess and reconcile supply chain transformation decisions to current tax policies.

With the new design in hand, Deloitte Tohmatsu teams remain available to support implementation and adoption of processes, helping to monitor the performance and sustainability of your operating model.

Creating resilient, tax-efficient supply chains

As part of the VCA review, we can analyze the tax implications of VAT; global trade; transfer pricing standards; and the tax liability arising from various sales channels. A typical outcome is the strategic alignment of supply chain components so that functions and risks reside where they add value from a tax perspective. This can affect physical assets like inventory, manufacturing facilities, and personnel, as well as intellectual property (IP) and intangibles.

Professional

Fumiko Mizoguchi

Fumiko Mizoguchi

Tax & Legal Business Leader

Practice Fumiko Mizoguchi offers advice on VAT/GST laws such as EU VAT Directives and Regulations and VAT/GST laws in the other jurisdictions, US sales and use tax laws, based on her practice experien... More

Masamitsu Koshiba

Masamitsu Koshiba

Deloitte Tohmatsu Tax Co. Partner

Certified Public Accountant Masamitsu is a tax partner in the International Tax and M&A of Deloitte Tohmatsu Tax. Co. After graduating from university, he started his professional career as an auditor... More

Jun Sawada

Jun Sawada

Deloitte Tohmatsu Tax Co. Partner

Jun is the national leader of the Transfer Pricing Consulting Services team in Japan. After starting his career with Arthur Andersen in 1999, Jun has been advising both foreign and Japanese multinatio... More