Seven Tips for Smarter Working Capital Management

Organizations that neglect the importance of effective working capital management do so at their own peril, warns Judith D. Sherling, CPA, CGMA. Working capital consists of several “moving parts” that must be closely tracked and managed, says Sherling. These include inventory financing, accounts payable, and accounts receivable. “Financial operations professionals must contrast working capital against intermediate and long-term debt, treating working capital as something very dynamic that they…