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Working capital optimization part 4: Deploying a solution

When undertaking a working capital optimization project, it’s essential to deploy your solution effectively so that you can achieve the desired outcomes. In particular, you’ll need to include all relevant stakeholders in the implementation and communicate with them effectively. While this may sound straightforward in theory, this aspect of the project can be challenging – particularly for … Read more

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Working capital optimization part 3: measuring success

We’ve looked at the importance of setting clear goals in a working capital optimization program, as well as the need for a strategic approach and the issues to consider when choosing a partner. Now let’s explore how you can measure the success of your program. Working capital metrics The basic metrics used in any working … Read more

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The cash flow revolution

In times of uncertainty, businesses tend to look inwards. Decisions are made to reduce outgoings, capex and R&D projects are shelved, and costs savings are made where possible. Invariably, suppliers are caught up in the cash conservation initiatives, as businesses tend to push out payment terms to improve days payable outstanding (DPO) figures. But this … Read more

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Working capital optimization part 2: Choosing the right approach

Not all working capital optimization projects are equal. Once your company has decided to tackle this area, a number of decisions will need to be made. From setting out your objectives to adopting a strategic approach, here’s what you need to consider: Set clear goals First and foremost, it’s important to be clear about your … Read more