Quelles sont les stratégies efficaces pour gérer le fonds de roulement ?

In my experience, inventory costs are not just significant but to an extent they decide the possibility of profits in a business. Poorly managed inventory can lead to losses in even an otherwise efficient business. Following are a few of the strategies that help an organization manage inventory quantity and costs- ABC Analysis Just-In-Time (JIT) Inventory System Forecasting Tools Safety Stock Levels Reorder Points Regular Inventory Policy Reviews Inventory Control Systems Supplier Relationship Management Key Performance Indicators (KPIs) Cross-Functional Collaboration Regular Audits.

Reducing inventory costs - a blanket wish list of effective organisations.. and some of the operating gold standards are now no longer in play since Covid. Example: Just in time production - once lauded and utilised widely because procurement, production, logistics/distribution were largely centralised. We then saw Covid and geopolitics impact the world of manufacturing and supply chains, leading to near shoring / friendshoring and diversification even if it meant costs are suboptimal. Being out of stock is worse than being overstocked especially in cases where demand is inelastic and prices are free to compensate. There must be a shift in mindset to managing inventory and its impact on working capital given the tectonic shifts.

In my experience, top 3 strategies to maintain healthy working capital are as follows - inventory management , controlling (DIO) by maintaining a slightly higher level of inventory than immediate demand requires. - Receivable collection , Controlling (DSO) being proactive in collecting payments from customers to maintain healthy cash flow -Payables management, controlling (DPO) by extending payment periods slightly to manage cash flow more effectively

Develop detailed cash flow forecasts to predict inflows and outflows. This helps anticipate periods of surplus or shortfall, allowing better management of working capital.Optimize inventory levels to prevent overstocking or stockouts. negotiate better payment terms with suppliers, and regularly review inventory turnover ratios. Speed up collections by offering discounts for early payments, implementing efficient invoicing systems, and actively following up on overdue payments to reduce accounts receivable days outstanding. Negotiate favorable payment terms with suppliers. Strategically manage payment schedules to maximize cash on hand.

The primary challenge lies in dealing with sluggish stock that requires immediate clearance. To efficiently address this, it is crucial to identify slow-moving inventory at the variant level and implement strategic discounting to accelerate sales. This targeted approach not only helps to streamline the sales process but also ensures a swift reduction of stagnant stock.

Effectively managing working capital involves negotiating improved terms with suppliers. Extend payment timelines, decrease order quantities, and request early payment discounts or incentives. Enhancing your accounts payable turnover ratio by efficiently using supplier credit ensures optimal cash retention for your business. This strategic approach aids in strengthening financial liquidity and overall working capital management.

Since the vendor is one of our business partners and their support is crucial, I will consider them as joint venture partners in the mega projects. The credit term in the agreed pricing and support should be determined by the collection, or it will usually require back to back payment. It will be solved the cash flow and financial issues. Through the collaboration, a synergy has been created between financing and quality to extend the blue Ocean view.

These five techniques for working capital management will help you improve how cash flows in and out of your business, control costs, and collect your income faster. 1. Pay Suppliers on Time 2. Monitor and Control Costs 3. Collect Customer Payments Faster 4. Improve Inventory Management 5. Make Smart Financing Decisions

One of the best strategies in managing liquidity is to negotiate for better terms with suppliers. Ensure as an entity, you are able to recover your receivables before your payables becomes due. Credit days to customers should be shorter compared to credit days from suppliers. In that incase, you are assured of funds available before commitments are due

To negotiate better terms with suppliers, try to establish a long-term relationship, consolidate your orders, and leverage your purchasing volume for better pricing.

What I have learned from my experience over the last 17 years is that cash or liquidity is more valuable than other assets. So the focus should be on managing trade receivables. Inventory and payables management is also important; however, it can vary from industry to industry. Receivables management starts from the selection of customers. Work with customers who have good creditworthiness. A good system should be in place to track and monitor accounts receivable. The accounting system should be able to provide comprehensive aging reports, and the team should be able to act on those reports. This can be enabled based on defined policies and procedures such as offering early payment discounts, reminder letters, warning letters, etc.

Accelerating receivables collection is crucial for effective working capital management. Implement strategies like providing early payment discounts, enforcing credit policies, sending timely invoices and reminders, and utilizing online payment platforms. Enhancing the accounts receivable turnover ratio by swiftly converting sales into cash boosts cash inflow and ensures efficient management of credit sales. This approach strengthens financial liquidity, supporting overall working capital optimization.

Quick collection acts as a boon for businesses, I have discussed a few steps and strategies that may be considered for improving the collection period. Strategies for Faster Collection: -Offer discounts or incentives for early payments. -Enforce credit policies and terms rigorously. -Send invoices and reminders promptly. -Utilize online payment platforms for efficiency. Improve Accounts Receivable Turnover: Accelerate receivables collection to enhance the accounts receivable turnover ratio. Effective Credit Management: A higher turnover ratio reflects efficient credit sales management and increased cash inflow.

Your sales turns into receivables, collecting cash creates good turnover. But if the receivables are not collected faster than your payables, I repeat faster than what you pay to suppliers, then your organization is caught in cash shortage or in more borrowing. In other words, customers are doing their business at your cost! Shorter receivable days (shortest, if possible) than payable days are the key to working capital strategy.

Working capital management is directly linked to cash flow management. Keeping an eye on the balance between payables and receivables is key. Paying off creditors and accounts payable faster than incurring accounts receivable leads to cash deficits. In some cases it is impossible to delay payments to creditors and the only way to increase the cash position is by collecting receivables faster. Solutions to collect accounts payable faster consist of offering fast payment discounts or sending invoices and reminders. A more rigorous solution could be to refinance the accounts payable through a specialized party.

Optimizing cashflow management is an important aspect of maintaining efficient working capital as it encompasses other aspects of working capital. When the cashflow is correctly tracked, and by knowing the optimal position, efficient inventory level is maintained, optimal receivables collection is targeted and negotiation of best credit terms will be considered.

The obvious part is to ensure that the controllable measures, which are a) customers' cash turn around time should not exceed b) the suppliers' payment terms. Inventory is an important element of working capital which needs effective business mapping however, seasonal buying to take advantage of lower cost of buying, makes it somewhat uncontrollable at times, which in terms mean handling the controllable part (supplier management) to offset the negative impact of higher inventory.

Effectively managing working capital involves optimizing cash flow management. Utilizing tools like cash flow statements, budgets, and forecasts allows meticulous monitoring of inflows and outflows. These tools provide insights into performance, identifying gaps or surpluses and enabling proactive planning for contingencies or opportunities. This strategic approach enhances overall liquidity, solvency, and profitability. As a seasoned professional in Management Accounting, implementing robust cash flow management aligns financial practices with organizational goals, fostering sustainable and resilient business operations.

In my experience, cash flow management should be regarded from 3 main perspectives: - profit generation - working capital management - investing activity (capex and assets sales) There are other factors to be considered - dividend payments and financing the business from external resources. Still the main 3 should be in a permanent focus.

Especially in IT services companies, having automated tools to reduce lead time between timesheet submission to invoice generation helps to reduce overall DSO thereby improving cash position for working capital.

Every business is looking at improving its cash flow, therefore it’s naive to think about the solution in isolation at the expense of your entire supply chain. I’m a firm believer that the entire supply chain should be addressed to achieve equilibrium. Squeezing a supplier or pushing a customer are very short term myopic levers. Two aspects must be addressed - 1) What does ‘good’ look like? Are you operating at that level? If not, where are the gaps? 2) Are all players in your supply chain similarly placed? How can you help them get to the optimal level? It’s not a new concept, just look how a market leader like Toyota optimises its supply chain.

Automate receivables collection with technology by employing automated invoicing software, online payment platforms, and CRM systems for efficient billing and communication. Leverage AI and predictive analytics to identify payment patterns and assess credit risks, while blockchain ensures transparent transaction records. Utilize machine learning for late fee calculations and automated communication platforms for timely reminders. Integrate APIs with banking systems and embrace cloud-based accounting for real-time access to financial data, streamlining the receivables process with enhanced accuracy and efficiency.

Leveraging technology and automation is pivotal for streamlined working capital management. Utilize software, cloud-based solutions, and AI to automate accounting processes like inventory and invoice management. This not only enhances accuracy and transparency but also reduces errors, saving time and costs. Embracing technology empowers data-driven decision-making, contributing to more efficient and effective working capital management.

Efficiently managing working capital is crucial. Benefits of embracing technology for streamlined processes: -Automation Tools: Integrate AI for efficient corporate accounting. -Inventory Management: Use tech for precise stock control, minimizing errors. -Invoice Processing: Streamline with automated systems for timely billing. -Automate Payments: Implement solutions for quicker, efficient transactions. -Data-Driven Analysis: Leverage tech for real-time insights into cash flow. -Reduce Errors: Automation minimizes risks in financial processes. -Save Time, Cut Costs: Expedite tasks, cut manual process costs effectively. -Enhance Transparency: Real-time data improves financial visibility.

Automation, hot topic at the moment. Automating almost everything in managing working capital can effectively address complicated challenges in many areas of the process, from inventory up to cash collection to analysis/forecasting. I am a fan of simplification, so if the automation will ensure quality, transparency, efficiency, and in the end help the management in decision making and the data is safe, i am willing to invest time and energy to automate.

One thing I have found to be helpful is to seek advice from a professional who is running their own business. Having advice from someone whose business is at the same growth stage, or slightly ahead of yours, is priceless. They not only have sound advice, but they can give practical considerations on how to implement their advice as they are pretty much dealing with the same issues in their businesses just like you are

Some time the management are weak to understand the situation and how to improve the work culture for betterment that why I suggest to all management take professional advice for better improvement….

Seeking professional advice is crucial for effective working capital management, particularly in complex business scenarios. Engage experts to assess your situation, identify improvement areas, and implement best practices. Their experience, knowledge, and network can prove invaluable in achieving your working capital goals, ensuring strategic and tailored solutions for optimal financial health.

Ter um mentor não é um atalho, tampouco uma opção para apenas que tem muita condição. Eu respondo por uma consultoria especialista em gestão empresarial e posso afirmar que cada vez mais o mentor é um papel que deveria estar em todas as organizações, da pequena a grande, como canal de viabilização de resultados práticos baseados em anos de experimentações noutros negócios. Criei um método de implementação de processos que conduz a resultados práticos, e isso só é possível através do aconselhamento profissional.

A good professional advice to manage inventory would be to implement a robust inventory management system, conduct regular demand forecasting, and optimize your supply chain for efficiency.

I would like to share story of a business and how an efficient Management Accountant turned a business profitable. Ms. X's Financial Turnaround at Y Ltd. -Inventory Optimization - Efficient Invoicing -Accepting online payments -Data-Driven Decisions: Cash flow analysis empowered Ms. X for informed decisions. -Efficient receivables collection led to faster cash inflow. -Ms. X negotiated favorable terms, reducing order quantities. Ms. X's strategy resulted in a profit boost, positioning Y Ltd. as an industry leader. -Investor Confidence: Financial stability attracted investors, leading to a stock price climb. -Industry Inspiration: Y Ltd. became a beacon of efficient working capital management under Ms. X's leadership.

Some of the ways of you can optimize Working Capital Management includes: -Opening more channels of payment: The flexibility in payment processing appeals to customers of all ages and cultures. The older generation prefers Cheques. The younger generation prefers credit cards, Online channels and mobile payments. -Employ an accountant -Redirect cash to high return inventories

While there are contributions encouraging inventory management, improving debt collection and aligning the sales process, I recommend a cost control approach. I have focussed on cost control and expense minimisation in the organisations I have managed. Consistently, I have found an organisation will process expenses and not question their necessity. By asking the questions, it is possible to reduce expenditure and increase profitability, improving working capital. The other cost-saving strategy is to ask if the expense is essential; can it be minimised? By looking for alternatives, it is possible to reduce expenses significantly. Innovative thinking should be a stock tool of trade for Accountants.

In addition to the strategies mentioned, fostering a culture of financial responsibility and awareness among your team is essential. Educate employees on the impact of their roles on working capital and encourage proactive participation in cost-saving initiatives. A financially literate team can be a powerful asset in optimizing working capital and sustaining long-term financial health.

In my experience I found that one of the most important aspects to be having a solid Human Resource Management, may be it’s little bit far from other aspects but in a way or another it has indirect effect. How the human resource management could affect your operations?! As long as the Humans are an essential assets in the organization and it could affect the organization performance through choosing the best resources which will affect directly in the company decisions. Managing working capital through the right people most likely will lead to more success and more productivity & opportunities.