Net working capital is a measure of the amount of operating capital that is tied up in current assets including receivables and inventories, less current liabilities such as accounts payable. Companies that dominate their industries minimize the amount of working capital needed to support the ongoing day-to-day operations of their business. Minimizing working capital frees up cash to invest in high-growth initiatives while maximizing the return on working capital from existing business operations.
Noetix has provided an online Working Capital calculator to help you estimate the financial impact of making targeted improvements in working capital performance. Click here to access the calculator.
The key to effective working capital management is a solution that enables executives, managers, and front-line employees to identify working capital inefficiencies and collaborate on effective strategies and tactics to improve working capital performance. Noetix Analytics for Working Capital does precisely this. By leveraging your operational sales, inventory, and procurement data, Noetix Analytics for Working Capital helps customers pinpoint specific opportunities to free up cash, accelerate cash flow, and improve profitability.
To learn more about improving working capital performance, download the whitepaper.