Cash is king, So work your working capital

con análisis y comentarios de Eduardo Petracca
INSEAD Business School – Case Study
Publicado en revista «Management Herald» – Marzo y Abril 2010

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With credit so hard to get during this recession, the old adage that “cash is king” is even more relevant. But most companies have access to more cash than they realise, say two INSEAD professors, and it’s right in front of them, in their company balance sheets.

Kevin Kaiser and S. David Young surveyed many companies for their recent Harvard Business Review article and found that the traditional business focus on the bottom line actually ties up
working capital, setting managers on a death march towards bankruptcy. They have come up with a six-part strategy to squeeze more funds from business balance sheets.

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