Cash conversion cycle (CCC)
We have often worked in departmental silos to optimize Procure-to-Pay (P2P) cycle times in Procurement and Order-to-Cash (O2C) cycle times in Sales, but have we joined hands with Warehousing and Sales in optimizing in Cash conversion cycle (CCC) times for the overall benefit of our organization?
Cash is king in most businesses. I believe having a transparent dashboard with all the key reporting indicators that include the procurement, supply cycle and the opportunity cost to get things done will assist organisations understand the actual and true financial position they are in. Having separate departmental silo's does not help the organisation move forward.