Premium Essay

Wcm- an Overview

In:

Submitted By nimki
Words 2228
Pages 9
- an Cash Management

Cash
Reducing working capital levels
Well-capitalized companies are positioned not only to survive the financial crisis today, but also to emerge victorious and thrive when skies turn blue again. Establishing and adhering to tight working capital standards enables a firm to continue its operations with sufficient funds to both satisfy maturing short-term debt and meet upcoming operational expenses.

Liberating

Laura Greenberg

I

t is no surprise that many companies are staggering under the burden of today’s financial crisis. Even the most optimistic executives see no near-term signs of improvement. Cash is tighter than it has been in decades, and we are seeing companies struggling to attain sufficient liquidity during the ongoing credit crunch. Many have already taken action to reduce capital spending across the board, while others are gearing up to do so.

www.AFPonline.org AFP Exchange I 49
Copyright ©2009 by the Association for Financial Professionals. All rights reserved in all countries.

Cash Management 2008B CTPs & CTPAs
Working Capital Management (WCM)—front and center The current financial crisis has elevated decision-making related to working capital and short-term financing to top-of-mind for today’s executives. Although working capital is a simple concept, managing it is made difficult by the complexity of the business around it. A focus on short-term earnings without concurrent discipline on cash and working capital has deflected the attention of many companies from the basics, where “cash is king.” As a result of the global nature of large organizations— along with the diversity of systems, processes, organizations and measures of performance—many companies are surprised to find that they are holding excessive levels of working capital. Since free cash flow is a key influencer of shareholder value, and may be

Similar Documents

Premium Essay

Management Planning of Tyco Ltd

...Management Planning of Tyco International LTD Management Planning of Tyco International Ltd. Tyco International Ltd., “Is a diversified, global company that provides vital products and services to customers in more than 60 countries. With more than 100,000 employees worldwide, Tyco is a leading provider of security products and services, fire protection and detection products and services, valves and controls, and other industrial products” Tyco International Ltd (n.d.),  (Who We Are Overview, para. 1). The management planning function of Tyco International influences every facet of the business from the environment to their employees. In addition to establishing long-and short-term goals management planning also involves the company’s legal issues, ethics, and corporate social responsibility. Several factors, internal and external also influence Tyco’s strategic, tactical, operational, and contingency planning. Function of Management Tycos' vision is to be their customers first choice in the five markets they serve; home security, fire protection services, safety products, flow and thermal valves and controls, and electrical, and metal products. Tyco believes by going beyond commitments, using new technologies, powering the advantage of their diverse brands, maintaining operational superbness, and total dedication the highest business standards, Tyco will achieve their vision. Tyco goals of governance, customers, growth...

Words: 947 - Pages: 4

Premium Essay

Examining a Business Failure

...Examining a Business Failure - Tyco International Ltd Organizational behavior is defined as the study of the behavior of individuals, groups and structure and the impact to an organization. Organizational behavior uses the information gathered from this study to improve the organization’s effectiveness (Robbins, 2011). Organizational behavior focuses on a number of areas including the behavior of leaders, inter-personal communication, processes and structure within the organization, conflict and employee motivation. The behavioral disciplines of psychology, social psychology, sociology and anthropology form the basis for the study of organizational behavior. Psychology and social psychology studies the impact of conditions in the workplace and the impact to the employees’ performance. Within these sciences, learning theorists also studies the impact of change and how to reduce the challenges of change in the work environment [ (Robbins, 2011, p. 12) ]. According to the authors, sociology, and anthropology contributes to the study of organizational behavior by focusing on the relationship of employees as a group and the impact to the organizational structure. The culture and group dynamic of the employees will direct the level of motivation that in turn will negatively or positively impact the performance of the organization [ (Robbins, 2011, p. 12) ]. Psychology evaluates changes in individuals’ behavior and the impact to learning, Emotions, leadership, and decision-making...

Words: 1292 - Pages: 6

Free Essay

Gm548 Strategy Assignment

...When it comes to attending national conferences or seminars I get excited inside just from the opportunity to build and add on to my network. I’m a firm believer in the statement, “Your Network is Your Net Worth” as published in Hotep’s book A Hustler’s Ten Commandments. I ran across an article on World Bank’s website titled “Credit Reporting and Risk Management Training,” and it immediately sparked my interest. In September, representatives from several Caribbean nations attended a Credit Reporting and Risk Management Training seminar in Kuala Lumpur. The seminar was hosted by IFC and the Bank Negara Malaysia, and lasted five days. It served as a ‘crash course’ on credit reporting and retail risk management by: providing a detailed overview of the credit reporting industry including issues related to collateral registries, systems development, modern risk management strategies, and the development of new technologies. The seminar also illustrated international best practices and success cases and providing data on different models and value-added services; highlighting the benefits of proper financial infrastructure for lenders, borrowers and the economy; and highlighting the roles and responsibilities for regulators and private credit bureaus. There was an all-star crew of representatives that included representatives of central banks, banking supervisors, lenders’ associations, donors, microfinance institutions and private credit bureaus from over 60 countries. Countries...

Words: 312 - Pages: 2

Premium Essay

The Effect of Working Capital Management and Profitability

...The Effects of Working Capital Management on Firm Profitability A study examining the impacts of different company characteristics   Authors: Hampus Björkman & Micael Hillergren Supervisor: Lars Lindbergh   Student Umeå School of Business and Economics Spring semester 2014 Degree project, 30 HP Abstract Many argue that there is a trade off between profitability and liquidity. However, many studies have found that the profitability can increase with an efficient Working Capital Management. Correctly allocating cash flows to where and when it is needed increases liquidity and simultaneously increasing profitability. The purpose of this study is to develop the research on the relationship between Working Capital Management and profitability by investigating how it is affected by different company characteristics. A quantitative method was applied with philosophical stances in objectivism and positivism and deductive theory was used to approach the subject. From the theoretical framework, five hypotheses were established and statistically tested in order to answer our research question. The first hypothesis was formulated to confirm previous research, while the remaining two aimed at providing both a theoretical and practical contribution to existing knowledge. The thesis centers on the Cash Conversion Cycle, a metric of how fast a company turns purchased products into profit, with Gross Profit Margin as the measure of profitability. The...

Words: 30644 - Pages: 123

Premium Essay

Management Planning

...Tyco International Ltd is a global company currently operating in 60 countries and more than 100,000 employees worldwide. The chairman and Chief Executive Officer of the company, Edward D. Breen joined Tyco in 2002. Tyco is the leading provider of electronic security products and services, fire protection and detection products and services ,valves and controls (Tyco International Ltd, n.d., para. 1) The company was founded in 1960 by Arthur J. Rosenberg and acquired a bulk of the business through acquisition through a period of 1973-2001. The company has made more than 200 acquisitions in the past eight years. The company was first listed on the New York stock exchange in 1974. Tyco not only believes that providing excellent services to the customers but that the company should practices and ensures integrity, compliance, and accountability to all parties involved in the success if the business. A company as large as Tyco International has to put much thought into the management, and the planning aspects of the business. The company operates all over the world and the company has to adapt to the different cultures and business ethics of each Country. Tyco not only operates its own business but also manages other companies. Tyco has six goals the company seeks to achieve. Governance, Operational Excellence, Growth, Financial Strength, and Flexibility, Teamwork, Culture, and Customers. Tyco has exceeded its commitment in all of these areas and believe that it has assisted in the...

Words: 1012 - Pages: 5

Free Essay

Uruguay

...LNUMSU | Uruguay | Research Paper | Section 3 | Joyce----Chen Xinran; M00079641 Jodie----Zhou Yingzhe;M00079727 | 2012/12/31 | | Uruguay Uruguay is located in the Southern South America, and lies at the east bank of Uruguay River and the Rio de la Plata---- at the border of the South Atlantic Ocean, and it is located between Argentina and Brazil (CIA: Uruguay: Geography). Uruguay is a country living on exporting farming and herding services and the economy of it is mainly based on agro-exporters and miners. Uruguay’s economic situation shows diverse and multi-level trends, including hydropower development, which is greatly improved and largely spread. Meanwhile, most visitors flock to beach resorts of the Atlantic Ocean such as Punta Del Este. Education is compulsory and free in Uruguay, even so, there are still many Uruguayan who choose to immigrate to Spain, in order to seek for better job opportunities (travelnationalgeographic: Uruguay Facts). In the early twentieth century, because there are a large number of agricultural products exporting to Europe and other country, it makes Uruguay became one of the rich countries in South America Currently, although the Uruguay economy which has experienced a serious of recessions can’t be compared to the past, Uruguay’s economy began to revive as Brazil and Argentina since 2004 (countrystudies: Uruguay). This research paper is divided into four parts. In the first place we give an explanation about political...

Words: 2309 - Pages: 10

Free Essay

Obopay Case Analysis

...first companies to provide mobile payment solutions, integrating mobile technology with money services. The concept behind Obopay and the mobile wallet came to Carol Realini while traveling to Africa where she saw how many people despite not having access to basic banking services did own mobile phones (“TLP SV Speakers for Nov 4: Obopay and Venrock”). Founded by Carol Realini in 2005, Obopay was designed to make banking services as pervasive as mobile phones by partnering with financial institutions and mobile service providers. In the last seven years, Obopay has established partnerships with organizations such as Nokia, MasterCard, AT&T, Verizon, Essar, Union Bank of India, Yes Bank in India, Citibank and Société Générale (“Obopay Overview”). Today, Obopay has between 150 – 200 employees, the majority of which are located in Bangalore, India (O’Brien). Mission Statement Obopay’s mission statement is, “To provide a broad range of services including money transfer, mobile and online commerce, top up, bill pay, and disbursements,” (“Obopay...

Words: 8034 - Pages: 33

Premium Essay

Marketing Strategy for Oral Hygine Product

...Marketing Strategy MKT306 Assignment July 2010 University of Sunderland, UK Joey Kwan Lay Kuan Student ID: 089111572 Table of Content Assignment Questions 1 Abbreviations Report 1.0 Executive Summary 2 3 4 2.0 Terms of Reference 3.0 Corporate Objective 4.0 Situational Analysis 4.1 Industry Analysis 4.2 SWOT Analysis 4.3 Competitive Advantage and Core Competencies 5.0 Recommendations 5.1 Segmentation Targeting and Positioning 5.2 Marketing Objectives and Goals 5.3 Marketing Strategies and Programmes 5.3.1 Product 5.3.2 Pricing 5.3.3 Place 5.3.4 Promotion 6.0 Conclusion Reference Appendix 5 7 8 9 11 12 14 15 19 20 21 22 23 25 33 34 41 MKT306 Marketing Strategy Assignment Questions This is an individual assignment as a single report in two parts. 1. Investigation and analysis Choose an individual brand or product line from either the producer and/or brand owner, who are involved in the marketing of an oral hygiene product or products. Investigate and evaluate their marketing strategy using contemporary marketing tools and techniques however this may be illuminated using examples from other companies /organisations. You can demonstrate the effectiveness of the reported policies for the chosen company by giving performance data against competitors in the market (e.g. market share, sales, profitability, etc.). 2. Recommendations Your remit is to put forward your own suggestions covering changes in marketing strategy that will improve the future performance...

Words: 6919 - Pages: 28

Free Essay

Jbsjkbhjsfba

...9781119005414. You require both books for ACCT 111 and ACCT 161 and this will save you considerable money.   BUSINESS MANAGEMENT, INSURANCE, GOLF & HUMAN RESOURCES STUDENTS – only purchase volume 1, the stand alone book ISBN  9781119009290. You are only required to take one financial accounting course so only one textbook is needed. Note that this course uses Wiley Plus, which is an online tool where you prepare online assignments. I will send you an email with the correct URL to register in. Please register as soon as you receive it. COURSE DESCRIPTION: Students are introduced to fundamental accounting principles, concepts and techniques. The course provides an overview of the accounting cycle from the initial recording of transactions through to the preparation of financial statements for merchandising and service businesses that are organized as proprietorships,...

Words: 1538 - Pages: 7

Premium Essay

Genuine Harley Davidson Parts Sales Recovery Marketing Plan

...Genuine Harley Davidson Parts Sales Recovery Marketing Plan Mark McLean BUS620 Dr. Patricia Ryan October 31, 2011 0.1 Company Overview Harley-Davidson, Inc. was founded in 1903 and is head quartered in Milwaukee, Wisconsin. The motorcycle company produces and sells heavyweight, cruiser class motorcycles, and supports its customers with motorcycle parts, accessories, and related financial services. Harley –Davidson functions within two segments; Motorcycles and Related Products, and Financial Services. The Motorcycles and Related Products segment include the design, manufacture, and sale of the heavyweight touring, custom, and performance motorcycles. This segment covers a very large geographic area that covers North America, Europe, the Middle East, Africa, the Asia/Pacific, and Latin America markets. To support its customers and add additional revenues, Harley-Davidson or H-D, makes available a line of motorcycle parts and accessories, including replacement parts, and mechanical and cosmetic accessories; general merchandise, such as apparel and accessories; and related services. Also, this segment manufactures five families of motorcycles and three brands. The motorcycle families are Touring, Dyna, Softail, Sportster, and VRSC and the three brands are Harley-Davidson, Buell, and Cagiva (Hoovers Company Records, Harley-Davidson, Inc). The second segment called Financial Services provides wholesale and retail financing, and insurance and insurance-related...

Words: 2209 - Pages: 9

Premium Essay

Comparitive Religions

...John Foster Dr. Tucker Comparative Religions 4/30/12 Option 3 Judaism Judaism is the original of the three Abrahamic faiths; these faiths include Christianity and Islam. Judaism started in the Middle East over 35000 years ago. There has been somewhat of an argument to who founded Judaism, many believe Moses was the founder, but Jews have traced their history back to see that Abraham could have been the founder. Jews believe and have faith that there is only one God and they feel they have a covenant with that God. What the Jews mean by covenant is “the covenant between God and Jews is the basis for the idea of the Jews as the chosen people.” Roman Times There was a certain time period where the Jewish People pretty much governed themselves and were able to come to peace with the Roman Empire. “But internal divisions weakened the Jewish kingdom and allowed the Romans to establish control in 63 BCE.” After this the Jewish people were being taxed and “oppressed” by a series of rulers who pretty much forgot and did not care for the practice of Judaism. At the time the priests or “Sadducees” were friends or allies with the rulers and forgot who they really were. After this the Jews turned to the Pharisees or scribes, these people were also called Rabbis, which means teachers. When the Rabbis came in they encouraged the Jewish people to look at new ethical laws in all aspects of like, and look at a cycle of prayer and festivals in the home and at synagogues. History from...

Words: 2249 - Pages: 9

Free Essay

Hango93

...Corporate environmental governance of TNCs in developing countries: case of Vedan Vietnam 1. Overview of corporate environmental governance * The term ‘corporate environmental governance’ (‘CEG’) implies ‘a range of internal and external hard and soft rules, such as laws, regulations, policies, practices and social understandings, which shape and constrain corporate behaviour.’ * Factors driving and shaping corporate environmental behaviour: * Internal factors: unique resources, business strategies, organisation structure, business philosophy, etc. * External factors: * Legal pressure from legal stakeholders such as regulators, legislators, etc. * Social pressure from social stakeholders such as the neighbours, environmental activist organizations, etc. * Economic pressure from economic stakeholders such as consumers, investors, business partners, etc. 2. Vedan case 3.1. Background information of Vedan * Name: Vedan Vietnam Enterprise Corporation Limited (Vedan Vietnam), a company wholly owned by Taiwanese investors. * Year of establishment: 1991 in accordance with Investment Certificate No. 171/GP issued by the State Committee of Copperation and Investment on 08/-3/1991. * Location: Phuoc Thai Commune, Long Thanh district, Dong Nai Province, Viet Nam. * Principal activities: production of monosodium glutamate (MSG), lysine, and modified starch. * Business philosophy: “Taking roots in Vietnam- Developing...

Words: 2306 - Pages: 10

Free Essay

Should Athlete's Be Screened Better for Heart Defects

...Should Athletes be Screened Better for Heart Defects? By Margaret Anne Rich A Research Project Proposal Submitted to the Graduate School of Northwestern State University of Louisiana In partial fulfillment of the requirements for the Master of Science in Health and Human Performance With concentration in Sport Administration April 2013 Abstract The purpose of this study is to determine if college athletes that are predisposed to heart defects develop a heart defect during their athletic career. The researcher will conduct a causal comparative study to prove that college athletes that are predisposed to heart defects develop one during their athletic career. The study will examine college athletes that are predisposed to heart defects and do not realize they are at risk for possible development of a heart defect during their athletic career. Knowing an athlete’s family and medical history could help prevent a great deal of possible health conditions. Athletes have a higher risk of developing a higher risk if they are predisposed. There are athletes that do not realize that they are predisposed to heart defects and that they could develop one. Table of Contents Introduction 5 Background 5 Theoretical Framework 6 Statement of the problem. 6 Research question. 6 Purpose for the study. 7 Significance 7 Limitations of the Study 7 Definitions of Terms 8 Arrhythmias 8 Athletic Career 8 Electrocardiogram 8 Hypertrophic cardiomyopathy:...

Words: 5181 - Pages: 21

Premium Essay

Interest Rates' Movements in Vietnam

...HANOI UNVIERSITY Faculty of Management and Tourism INTEREST RATE’S MOVEMENTS IN VIETNAM 2011-2013 Subject: Financial and Monetary Theory Tutor: Ms. Đào Mai Hương Tutorial: Tut 5 – FB10 Members: * Nguyễn Ngọc Minh - 1004040065 * Nguyễn Thị Lương - 0907010138 * Lê Thị Trang - 0907010234 * Trần Thị Ngọc Yến - 0901040092 Hanoi - 2012 Table of Contents I. Introduction 3 II. Interest rate in Vietnam 3 1. Definition 3 2. Basic interest rate 4 3. Ceiling of borrowing interest rate 5 III. Movement and factors affecting interest rate in Vietnam 6 1. In 2011 6 2. In 2012 7 IV. The effect of interest rate’s changes on banking industry 9 1. In 2011 9 2. In 2012 10 3. Forecast for 2013 11 V. Conclusion 11 Table of Graphs Graph 1 5 Graph 2 5 Graph 3 6 Graph 4 7 Graph 5 8 Graph 6 8 Graph 7 9 Graph 8 10 I. Introduction In Vietnamese financial system nowadays, banking has been the field with highest development speed. However, in the context of global economy depression, this bank’s quick growth makes our economy face many macro issues including freeze of real estate, fluctuation of gold price and interest rate, inflation, bad debt, especially interest rates of deposits and loans which mainly bring profit to banks. Banking system as financial intermediary in secondary market raises funds from different sources and then provides loans to customers and investment in securities...

Words: 2500 - Pages: 10

Premium Essay

Congestive Heart Failure

...Congestive Heart Failure Armi Gonzales Western Governors University Congestive Heart Failure A. Investigated Disease Process Congestive Heart Failure is a condition in which the heart is unable to pump a sufficient amount of blood for the body to function. If the heart’s ability to pump blood decreases, blood and fluids may start to pool into the lungs and accumulate in the legs, ankles, and feet causing an edema, shortness of breath, and fatigue. (Heart Failure, 2015, para. 2) The American Heart Association and American College of Cardiology defines heart failure as “a complex clinical syndrome that can result from any structural or functional cardiac disorder that impairs the ability of the ventricles to fill with or eject blood” (King, Kingery, & Casey, 2012, p. 1). Heart failure can be seen as a widespread disease, affecting around five million Americans. (Titler et al. n.d.) It is a chronic condition that is disabling and costly and common to our aging population. With the advancement in therapy and early diagnosis, survival increases from previously fatal acute cardiac events to patients feeling better and living longer. Millions of Americans living with heart failure are 65 years of age or older. (Roger et al, 2004) A1. Pathophysiology The Circulatory system focuses on the heart, a muscular organ that pumps blood through a complex network of blood vessels throughout the body. Blood that is pumped from the heart carries oxygen and nutrients that fuel...

Words: 6554 - Pages: 27