by Dr Lisa | cash flow, cash to cash cycle time, cash velocity, Dr Lisa Lang, goldratt, increase throughput, maximizing cash flow, maximizing profitability, theory of constraints
Continuing our cash velocity discussion started on March 16, 2007 Cash Velocity Summary There are two cash velocity rules: ● Make sure that the amount and rate of cash flowing in is enough to cover all your business and personal needs ● Be paranoid. Unfortunately,...
by Dr Lisa | cash velocity, Dr Lisa, Dr Lisa Lang, eli goldratt, eliyahu m goldratt, goldratt, maximizing profitability, reduce costs, theory of constraints, throughput, throughput accounting
Continuing our cash velocity discussion … Increasing Throughput Throughput (as defined in Goldratt’s Theory of Constraints Throughput Accounting) is sales revenue minus truly variable costs. Therefore we can increase your throughput by either 1) increasing...
by Dr Lisa | cash to cash cycle time, cash velocity, Dr Lisa Lang, mafia offer, maximizing cash flow, maximizing profitability, payment discount, payment terms, throughput
Continuing our cash velocity discussion started on March 16, 2007 Now let’s look at the impact on what we discussed yesterday had on our throughput. Let’s say we immediately visit a customer whose complete order was shipped and had just been received by that customer....
