Working Capital Liberation

Unlocking Business Growth Potential in a Volatile World

€1.84 Trillion
Excess Working Capital Ready to be Unleashed Globally

Key Metrics Under Pressure

+48%
UK Net Working Capital

Significant rise in Net Working Capital Days since 2015, indicating tightening liquidity.

+13.6%
Inventory Days (DIO)

Increase in cash-intensive sectors, locking up an estimated €300 billion in excess capital.

+5.7%
Sales Outstanding (DSO)

Slower customer payment cycles over the last decade are putting a strain on cash flow.

The Widening Gap: Company Size Matters

Smaller and mid-sized firms face the greatest challenges. While large corporations have managed to stretch supplier payments, SMEs have seen their working capital positions deteriorate significantly since 2015.

This disparity highlights a critical need for tailored working capital strategies for businesses of all sizes.

Working Capital Deterioration (Since 2015)

13.5%
Small

19.8%
Mid-Size

5.5%
Large

The New Playbook: Building Resilience and Agility

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Cross-Functional Integration

Working capital is no longer a siloed finance task. It’s a team sport where Procurement manages supplier relationships, FP&A translates operations into cash flow, and Supply Chain views inventory as tied liquidity. This holistic approach turns daily operational choices into strategic financial outcomes.

📊
Real-Time Visibility Drives Behavior

“Visibility shapes behavior, and behavior shapes resilience.” Top-performing companies use dashboards and forecasts as real-time feedback loops, not static reports. This pushes forecasting closer to operations and enables deliberate, data-driven decisions about liquidity buffers.

⚙️
The Three Pillars of Integration

Future-proof working capital programs are built on three pillars: Data Integration (a single source of truth), Governance Integration (shared responsibilities), and Tool Integration (embedded finance, AI forecasting, and supply chain platforms working in harmony).

From Efficiency to Expansion

Liberated capital directly fuels growth initiatives, technology improvements, and talent acquisition. Here’s how US business leaders plan to leverage their financial strength.

Increase Revenue in 2026
73%

Expand Workforce
48%

Pursue Mergers & Acquisitions
39%

Cash is no longer just a financial metric; it is the ultimate business lifeline and shock absorber in an era of sustained unreliability.

Effective working capital management is the best way to generate cash without relying on expensive external funding.