Using DSO to Measure Your Accounts Receivable Performance
Which key performance indicator (KPI) offers the best way to measure and monitor accounts receivable? It ultimately depends on your company’s particular structure, culture and goals. This article takes a closer look at using days sales outstanding (DSO), the most popular receivables KPI.
Download this article for insights such as:
- Learn why monthly measurement of DSO is important and how closer monitoring can improve cash flow
- See why it’s important to calculate best possible DSO (BPDSO) along with DSO
- Discover why reaching BPDSO may not be ideal
- Spot early signs of deficiencies in the collections and dispute process
- Find out why DSO by itself is not enough to assess overall working capital health