First reason: WCM can help you increase your financial flexibility
Working capital management enables your company’s cash flows to be carefully managed. A professional approach to working capital – in other words, working capital management (WCM) – creates greater financial room for manoeuvre for companies. It allows you to optimize your liquidity, strengthen your internal financing capacity, reduce your financing costs and improve your operating margin and profitability.
The positive impact of WCM on key corporate objectives – such as liquidity, profitability and process efficiency – is also confirmed by the participants in the annual WCM study conducted by the Supply Chain Finance Lab at the University of St. Gallen.