Strategic procurement is a method that goes beyond traditional purchasing practices to create long-term value for businesses. This means implementing a thorough plan that considers a number of factors, such as supplier partnerships, cost control, risk mitigation, and sustainability. Unlike traditional procurement, which is primarily concerned with procuring goods and services at the lowest possible …
Running a business involves more than just making sales and managing employees—it’s about ensuring your financials are in check. One of the key metrics to watch is working capital. Changes in working capital can signal important shifts in your business’s financial health. Working capital represents the difference between a company’s current assets and current liabilities. …
Days Inventory Outstanding (DIO) is a liquidity metric that measures the average number of days a company takes to sell its inventory. Efficient inventory management is an important part of the success of any business. One key metric that helps in evaluating how well a company manages its inventory is Days Inventory Outstanding (DIO). DIO …
Days Payable Outstanding (DPO) is a key financial metric that indicates how long a company takes to pay its suppliers. A well-managed DPO can lead to improved cash flow, allowing a company to use its available funds more effectively. It also impacts relationships with suppliers, as consistently delayed payments can strain these relationships, potentially leading …
Effective spend management is crucial for maintaining financial health and achieving long-term success in today’s world. Whether you’re a small startup or a large corporation, understanding and controlling your expenses can make a significant difference in your bottom line. Spend management not only helps in saving money but also ensures that your financial resources are …
Days Sales Outstanding (DSO) is a critical financial metric that measures the average number of days it takes a company to collect payment after making a sale. Understanding DSO is crucial for businesses as it provides insights into the efficiency of their accounts receivable processes and overall financial health. A well-managed DSO can improve cash …
Staying updated in the world of supply chain and logistics requires reliable sources of information. Podcasts have become an invaluable tool for professionals to gain insights from industry leaders, stay informed on trends, and explore innovative solutions. With their convenience and accessibility, podcasts allow you to learn on the go, whether you’re commuting, working out, …
In modern business, the concept of ESG (Environmental, Social, Governance) has risen to prominence, not just as a metric of sustainability but as a crucial component of corporate strategy. ESG represents a set of standards for a company’s operations that socially conscious investors use to screen potential investments. There are three main criteria: the Environmental …
Efficient resource flow management is critical in a sector as vital and changing as construction. But even the strongest businesses can suffer from supply chain complexities, something the construction industry frequently faces. Here’s where supply chain finance in construction becomes a game-changer, providing strong answers to typical financial roadblocks. The importance of supply chain in …
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The treasury role is essential to supply chain finance (reverse factoring) because it controls the financial risks associated with the supply chain and makes sure the company has the liquidity it needs to meet its operational demands. This involves a strategic approach to managing capital and financial resources, ensuring that the company can optimise its …
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