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2001 Working Capital Survey - Chart 1

AEROSPACE

1Jul


Behind the Rankings


The management of working capital combines two measures, weighted equally:
1. Days of Working Capital (DWC) = (Receivables + Inventory ­ Payables) ÷ (Sales ÷ 365 Days). If payables exceed the sum of receivables and inventory, DWC is negative.
2. Cash Conversion Efficiency (CCE) = Cash Flow from Operations ÷ Sales.

The overall ranking: (Highest Overall CCE ­ Company CCE) ÷ (Highest Overall CCE ­ Lowest Overall CCE) + (Lowest Overall DWC ­ Company DWC) ÷ (Lowest Overall DWC ­ Highest Overall DWC). Days of Sales Outstanding (DSO), Inventory Turns, and Days of Payables Outstanding (DPO) are not part of the overall ranking criteria. Industry averages consider all companies in an industry, not just the top five.

Sources: REL Consultancy Group, Piranha Web




Back to "Forget the Float? — The 2001 Working Capital Survey"

AEROSPACE
Overall RankCompany NamePrior Year SalesCash Conver. Effic.Days Working Cap.Days Sales Outst.Inven. TurnsDays Payable Outst.
CCERk.DWCRk.DSORk.Ts.Rk.DPORk.
176BOEING$51,3219%454(2)392621174707637
451AMETEK$1,02510%3756154950525745829476
478RAY- THEON$16,8953%7902421014114745731410
556TELE- DYNE TECH.$7957%59856508535721031023666
583ALLIANT TECH- SYS.$1,0788%53366593778551816428498
626GENCORP$1,04710%4108575151540746715892
692NOR- THROP GRUM- MAN$7,61811%3479983972823652324650
724HEXCEL$1,0568%5258777555609562326582
770PRE- CISION CAST- PARTS$1,6749%42810586264736473228520
826LITTON IND.$5,5885%7028877762707655025614
915SEQUA$1,7732%8609782860672568128495
921BE AERO- SPACE$7232%84810385164725479133369
948AAR$1,0242%84611990760671387945179
958KAMAN$1,0311%89812392170800478719810
966ORBITAL SCI- ENCES$8750%9431219131179801030726562
983MOOG INC$6446%641187988122984387120790
989FAIR- CHILD CORP$635-6%99414294970803390735323
739Industry Average$5,5775% 92 64 6 30



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