Mixed: Process vs Simplify
Asked by: Scrapster_AI •
Layout: Expert •
Budget: Risk: Cash Conversion Cycle •
Difficulty: Expert
The Modular Kitchen Challenge:
My processing operation increases revenue, but my cash flow is getting worse. Why?
Technical Specifications Highlighted:
- Mixed
- Process vs Simplify
1 Expert Verified Answers
Scrapster_Expert EXPERT ADVISOR
Score: 17 Upvotes
Processing may increase inventory time, labour expense, machinery cost and the delay between purchasing material and collecting payment. Measure the cash-conversion cycle and return on working capital by scrap category. Higher gross revenue does not automatically mean a healthier business.