2001 Working Capital Survey - Chart 14



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"

Over- all RankCompany NamePrior Year SalesCash Conver. Effic.Days Working CapitalDays Sales Outst.Inven. TurnsDays Payable Outst.
138RAYONIER INC$1,22719%1204540036335932224631
153WESTVACO CORP$3,66315%2032622840382842248154
174BOWATER INC$2,50012%2821815658638103026761
283WILLAMETTE INDUSTRIES INC$4,65213%2445246633289839619818
284POTLATCH CORP$1,80910%3943125837339746649142
290LOUISIANA PACIFIC CORP$2,9338%5282117820161837134345
345WEYER- HAEUSER CO$14,60310%3694742635315742926559
373CARAUSTAR INDUSTRIES INC$96311%3545247339372742624626
401BUCKEYE TECH- NOLOGIES INC$71317%1599381351542567316886
410ROCK TENN CO$1,4638%47645411373441127317867
419P H GLATFELTER CO$68114%2347869636329565121739
424BOISE CASCADE CORP$7,8077%5883934132279838729481
437MEAD CORP$4,36811%3256660045451747724637
456WAUSAU MOSINEE PAPER CORP$95210%3766255227218559224623
474MAIL WELL INC$2,4256%65539348353221129023682
497GEORGIA PACIFIC CORP$22,2189%4486255340387745219805
537UNIVERSAL FOREST PRODUCTS INC$1,3894%74339349181471031211954
552INTER- NATIONAL PAPER CO$28,1808%4996458446470654228523
610SMURFIT STONE CONTAINER CORP$8,7965%6925549945454743338264
658CROWN VANTAGE INC$7391%9033832517145836921758
823PENTAIR INC$2,7487%56610184378860566335325
416Industry Average$5,46810% 51 38 8 28 

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