How the interation of timing, communication and process impacts supply, demand, inventory and cash chains

1. TCP4 SID T C P
Description Account Timing Communication Process Description Cash Method
Term Days via Balance Sheet Acronym
S Supply Chain DPO 0 Trade Creditors P2P Purchase to Payment Supplier Finance
I Inventory Chain DIO 0 Stock/Work in Progress I2C Inventory to Cash- Nil? JIT/ Supplier/Customer
D Demand Chain DSO 0 Trade Debtors O2C Order to Cash Factoring/Securitisation
R Reverse Supply Chain Nil Net Zero Net by offsetting Dr/Cr R2C Reverse to Cash-Nil? Supplier/Customer
Cash Conversion Cycle 0 Positive WC cashflow CCC Healthy Cash Chain? Cost or Investment?
Copyright John Mardle 2011