AI-Powered Credit Analysis: How Automation and Software Are Transforming B2B Lending
AI is transforming credit analysis – not by replacing analysts, but by removing the manual work that slows decisions and traps capital in receivables. It’s not credit analysis that harms working capital – it’s the way it’s executed. When processes are slow, manual, and inconsistent, decisions stall, AR risk increases, and cash gets locked in overdue balances. With generative AI, credit teams can accelerate cash conversion, improve working capital, and focus on true judgment rather than administration. The result? Faster, more consistent credit decisions – and a healthier balance between liquidity, risk, and growth.
The Hidden Enemy of Working Capital: How Supply Chain Bias Drains Cash and Agility
Supply chain bias is the hidden force that makes working capital improvements stall. When functions optimize for themselves, the business as a whole loses. This article explores how bias creeps into everyday decisions, why it is often mistaken for real constraints, and what leaders can do to break free—unlocking cash, agility, and trust across the supply chain.
The Operating Working Capital Setpoint: Finding the Sweet Spot Between Cash, Growth, and Resilience
Working capital is no longer financial housekeeping — it’s a battleground for growth and resilience. At the center lies the Operating Working Capital Setpoint: the sweet spot where efficiency and effectiveness meet. This article explains why it matters, how it’s shaped by supply chain realities, and how leaders can calculate it objectively to free trapped cash and build lasting advantage.
Benchmarking Working Capital – Why Averages Mislead and Setpoints Matter
Benchmarking Working Capital is one of the most widely used – and most misunderstood – tools in corporate finance. Peer comparisons promise clarity but often distort reality. This article challenges the blind reliance on benchmarks and shows why operating working capital (OWC) must be managed beyond averages. Instead of chasing external league tables, companies should define their own setpoint: the optimal working capital level shaped by strategy, structure, and transactional data.