Cash Flow Myth 2 - Finance Manages Cash Flow

The reality is that by the time the finance team gets involved in a cash flow problem there are very few levers they can pull.

D. Brown Management Profile Picture
Share

And many of these levers have negative business consequences including the slow payment of suppliers or borrowing money.  

Cash Flow: Myth 2 - Finance People Manage Cash Flow

Furthermore neither of these options may even be available options.  

Most of what goes into a contractor having good cash flow falls is the responsibility of those selecting the right opportunities to pursue and operations.

Contractors with great cash flow are typically very integrated between getting work, doing work and keeping score.  They understand that sustainable growth only comes through balanced execution.  

How effectively are the functional areas of your business integrated?  

Are you happy with your scoreboard including cash flow?

How would your banker and surety rate your company’s cash flow as compared to your competition? 

Would your project team identify cash flow as one of their key objectives? 

Do they know all the tips, techniques and tools for improving cash flow? 

We are revamping our publicly available cash flow workshop that includes 18 techniques that contractors can use to accelerate cash flow. Stay informed of updates on release.


Cash Flow
Great cash flow is a key driver of valuation and successful successions. Running out of cash is is the #1 reason contractors fail. Improving cash flow improves your Return on Equity. Protect yourself and never let cash flow be the limitation to your profitable growth....

Cash Flow
Great cash flow is a key driver of valuation and successful successions. Running out of cash is is the #1 reason contractors fail. Improving cash flow improves your Return on Equity. Protect yourself and never let cash flow be the limitation to your profitable growth....

Issue 8 of 9: Industry Trends
Construction Ownership Transition Issue 8 of 9: The Construction Industry is Seeing Large Shifts With Several Interrelated Trends. How well the company is positioned will have a huge impact on valuation and cash generation.
Job Instruction (JI): A 1940s Solution to the Craft Labor Shortage
The shortage of qualified craft labor, crew leaders, and supervisors has been solved before - just not in our lifetimes. The lessons from the Training Within Industry (TWI) and specifically the Job Instruction (JI) training can be used by any contractor.
Building a Systems Development Team - Clarification
There a few different teams and team functions in construction technology that are distinct but also have to work together.