2001 Working Capital Survey - Chart 22



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.
13BURLING- TON NORTHERN SANTA FE$9,20525%44(51)516133161927736
19SEA CONTAIN. LTD$1,33911%324(109)361693181681845
144UNION PACIFIC CORP$11,87813%26211106201601717920783
172WERNER ENTERPR. INC$1,21514%21928243403931062214919
243AIRBORNE INC$3,14010%3622723039373585218852
253J B HUNT TRANSPORT SERVICES INC$2,1607%55211102393711421729460
265ALEXANDER & BALDWIN INC$1,05010%3742924741396526418850
267SWIFT TRANSPOR. CO INC$1,25912%30038334515481172115895
268ST JOE CO$8816%61088325193636521749
277FEDEX CORP$18,25710%3893025447489358924621
328YELLOW CORP$3,5886%6122319429244205118975
377US FREIGHT- WAYS$2,5398%5323630846467733914912
457CNF INC$5,5937%5994237460675972521728
458ALLIED HOLDINGS INC$1,0814%7392723342411893017857
617CONSOLI- DATED FREIGHT- WAYS CORP$2,3522%86537314505371861315906
277Industry Average$4,36910% 12 40 123 33 

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