Management ratios address the efficiency with which the managers are running the business. Ratios include the average collection period, i.e. how long it takes the business to collect money owed to it, average payment period, i.e. how long it takes the business to pay money to creditors, and inventory turnover ratios, i.e. how many weeks stock is on hand. As with all ratios, the trend is more important than any one value. See also Ratio Analysis and Ratio Solvency.« Back to Glossary Index
Discover the world’s largest Glossary of Procurement terms
With over 800 Procurement specific terms (and growing) you will find everything you need to know or thought you knew about the Procurement function. Our aim is to provide you with a comprehensive list collated from the Comprara Groups hub of training and consulting source materials.The Procurement Glossary has been compiled by industry expert Paul Rogers.