Leveraging Automation And Data To Gain Strategic Value From Payables
As the business leaders charged with optimizing working capital management, finance chiefs are looking for ways to move the financial supply chain from a cost center to a valued partner and profit center. Working capital management strategies are at a crossroads. According to the 2016 US Working Capital Survey from The Hackett Group, companies are facing the consequences of lax working capital management habits learned during times when credit was more readily available.
As a result, cash conversion cycle (CCC) performance among the 1,000 companies tracked in the survey declined by 2.4 days, or 7%, from the prior year. The 35.5-day CCC average is now higher than it’s been at any time since 2008, according to The Hackett Group’s research.