AmplioGroup’s exhaustively comprehensive working capital Benchmarking Database provides an excellent basis for the provision of insightful comparisons of organizations.
AmplioGroup provides scaled benchmark comparisons and studies for all three of the working capital functions – accounts receivable, accounts payable and inventory as it interacts with customer/supplier process flows. The comparisons can be scaled to virtually any sub-segment within almost any industry in virtually all jurisdictions.
The information provided through the Benchmarking Services can be relatively simple comparisons of standard performance metrics or more insightful, trended, performance metrics of the type that AmplioGroup uses in its diagnostic reviews.
The Benchmarking Services provided by AmplioGroup enable self-examination and understanding that can form the basis for significantly improving working capital performance.
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By Michael Van Luven
President and
Managing Director
While metrics such as WACD, or even DSO, are useful gauges of receivables performance trends, they only present one aspect of a complex environment. Knowing how long, on average, customers are taking to settle their invoices is quite useful. However, this statistic is most relevant when it is compared with the average amount of time that they have been granted to pay. Clearly, for a comparison of credit period taken to credit period granted to be relevant identical data sources or samples must be compared.
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