August 21, 2017
Wall Street Journal/CFO Journal, “Finance Chiefs Look to Free Up Working Capital Ahead of Rate Increases,” (subscription required)
Finance chiefs in the U.S. are shrinking the time it takes to convert trillions tied up in their businesses into tangible cash, while some of their European counterparts struggle to do the same. The 1,000 largest U.S. public companies reduced the number of days it took to convert working capital into cash received from customers to 35.7 days in 2016 from 37.1 a year earlier, according to a study by The Hackett Group http://quotes.wsj.com/HCKT Inc., HCKT 0.07% http://quotes.wsj.com/HCKT?mod=chiclets a consulting firm. The same measure of European companies took 40.4 days, up from 39 days in 2015.