SavedAdd your journal

Journals / Hacettepe Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi / 2019 / Cilt: 37 - Sayı: 1

WHAT DRIVES WORKING CAPITAL LEVELS?

İŞLETME SERMAYE SEVİYELERİNİ ETKİLEYEN FAKTÖRLER NELERDİR?

Andre B.DORSMAN
Wim WESTERMAN
Pages
41–63
Publication Date
2022-10-18
DOI
—
🏛️Bibliographic metadata and full text access for this article are provided via DergiPark.
DergiPark Record ↗
✨

AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

Two other cases reveal though, that the corporate philosophy cannot be neglected as a driver of working capital levels.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:This study examines factors that influence the level of working capital.
📊
Key Findings & Data:This can be measured by the length of the cash conversion cycle (CCC), the period it takes for investments in inventory to generate cash.
💡
Conclusion & Impact:Two other cases reveal though, that the corporate philosophy cannot be neglected as a driver of working capital levels.
🔬Design:Research Article
📍Scope:Comprehensive Sample
⚙️Variables:İşletme semayesi yönetimi · nakit dönüşüm döngüzü · etkileyen faktörler

Abstract

This study examines factors that influence the level of working capital. This can be measured by the length of the cash conversion cycle (CCC), the period it takes for investments in inventory to generate cash. The CCC is influenced by contingencies: cultures and habits, rules and regulations, information systems, economic conditions, markets and operations, as well as general factors: asset size, sales growth, solvency and liquidity. The article furthermore discusses several specific drivers of working capital, which are related to the accounts payables, inventory and accounts receivables cycles. While the created framework calls for country- and business-wise adaptations, it can yet inspire corporate managers and academic researchers, such as shown by an example case drawn from real world experiences. Two other cases reveal though, that the corporate philosophy cannot be neglected as a driver of working capital levels.

Özet

Bu çalışmada, işletme sermayesi seviyesini etkileyen faktörler incelenmektedir. İşletme sermayesi, envanter yatırımlarının nakit üretmesi için geçen süre olan nakit dönüşüm döngüsünün (CCC) uzunluğu ile ölçülebilir. CCC, kültürler ve alışkanlıklar, kurallar ve düzenlemeler, bilgi sistemleri, ekonomik koşullar, piyasalar ve işlemlerin yanı sıra, varlık hacmi, satış büyüklüğü, ödeme gücü ve likidite faktörlerinden etkilenmektedir. Makalede ayrıca, borç hesabı, envanter ve alacakların devir hesaplarıyla ilgili itici gücü olan bazı faktörler de tartışılmaktadır. Makalede çizilen çerçeve, ülke ve işletme bazında uyarlamalar yapılmasını gerektiriyor olsa da, gerçek dünya deneyimlerinden alınan örnek bir davada gösterildiği gibi, şirket yöneticilerine ve akademik araştırmacılara ilham kaynağı olabilir. Diğer iki vaka ise, şirket felsefesinin, işletme sermayesi seviyelerinin itici gücü olarak göz ardı edilemeyeceğini ortaya koymaktadır.

🔖

Cite This Article

B.DORSMAN, A., WESTERMAN, W. (2022). WHAT DRIVES WORKING CAPITAL LEVELS?. Hacettepe Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, Cilt: 37 - Sayı: 1, 41–63. https://ajindex.com/articles/532952

📄 Full Text PDF Viewer

📄

PDF görüntüleyici hazırlanıyor...

References (14)

  1. Aktas, N., E. Croci, D. Petmezas (2015), Is Working Capital Management Value-Enhancing? Evidence from firm Performance and Investments, Journal of Corporate Finance, 30, 98-113. Baños‐Caballero, S., P.J. García‐Teruel, P. Martínez‐Solano(2010),
  2. Working Capital Management in SMEs, Accounting & Finance, 50(3), 511-527. Baños-Caballero, S., P.J. García-Teruel, P. Martínez-Solano (2014),
  3. Working Capital Management, Corporate Performance, and Financial Constraints, Journal of Business Research, 67(3), 332-338.
  4. Barneveld, W. van, C. Heijes, W. Westerman (2013), The Control of Working Capital: A Case Study on Performance Measurement, Unpublished Paper Presented at the 20th Annual Conference of the Multinational Finance Society, June 30 - July 3, Izmir, Turkey. Barneveld, W.M. van, A.B. Dorsman (2016), Beheersing van Kasstromen en Werkkapitaal met Prestatiemaatstaven (“Controlling Cash Flows and Working Capital with Performance Measures”), Maandblad voor Accountancy en Bedrijfseconomie, 90(5), 185-193.
  5. Blenken Blijdenstein, H., W. Westerman (2008), Optimising a Global Cash Management Structure at Philips Electronics, Journal of Corporate Treasury Management, 1(4), 317-325.
  6. Dorsman, A., D. Gounopoulos (2008), Controlling Working Capital in Multinational Enterprises, Journal of Corporate Treasury Management, 2(2), 317-325.
  7. Dorsman, A., D. Gounopoulos, J. Hall, W. Westerman (2010),
  8. Controlling Cash Flows, Working Capital and Capital Expenditures with the Multinational Enterprise in: Westerman, W., Van der Meer-Kooistra, J. and Langfield-Smith K., International Management Accounting and Control, McGraw-Hill, 59-87.
  9. Enqvist, J., M. Graham, J. Nikkinen (2014), The Iimpact of Working Capital Management on Firm Profitability in Different Business Cycles: Evidence from Finland. Research in International Business and Finance, 32(C), 36-49.
  10. Haron, R., M.R. Nomran (2016), Determinants of Working Capital Management Before, During, and After the Global Financial Crisis of 2008:
  11. Evidence from Malaysia, The Journal of Developing Areas, 50(5). Platt. H. (2010), Lead with Cash: Cash Flow for Corporate Renewal, London: Imperial College Press.
  12. Preve, L., V. Sarria-Allende (2010),
  13. Working Capital Management, Oxford: Oxford University Press.
  14. Sagner, J. (2010), Essentials of Working Capital Management. Hoboken NJ: John Wiley & Sons. Sagner, J.S. (2014), Working Capital Management: Applications and Cases. Hoboken NJ: John Wiley & Sons. Schalk, R., O. Gelderblom, J. Jonker (2012), Schippe