#masterdatamanagementsoftware

Key Working Capital Measures and How Can They Get Improved Through Master Data Management Software:

1. Receivables:

Enhancing receivables through improved day’s sales outstanding is one of the best measures of any business enterprise’s order-to-cash process competence. It is quite obvious that a successful order-to-cash process begins with making the customer data correct. Having correct, legitimate and latest customer address, and contact details along with their receiving or billing details with proper credit limits and reviews boosts the competence of the delivery and the billing process.

To maintain the standard and agreed payment conditions as an integral part of the customer master data records allying to the company policies and principles, directly impact while proceeds get realized after the order-to-cash process. Creating right customer segmentation strategies and using the best master data management tools with full concentration on market categorization and hierarchy explanation and its proper illustration in the customer master records, would assist in improving the sales and marketing plans and generate higher proceeds.

 2. Payables:

The best possible payables through improved days payable outstanding is one of the best measures of any company’s procure-to-pay process competence. Having correct, legitimate and latest vendor data such as address and contact details and banking and payment details enhances the efficiency of your procure-to-pay process. Maintain standard and agreed payment conditions and banking details as an integral part of vendor master data records allying with the company policies and terms directly impacts the payables and the procure-to-pay process. The advanced MDM solutions trim down these hassles and streamline your company’s procure-to-pay process.

3. Stock:

Having a balanced and the best level of stock which circumvents the stock outs and never require unnecessary stock levels is one of the biggest challenges of the forecast-to-fulfill process. It demands close monitoring on the stock levels; need management and refill processes handled correctly through a high-tech inventory management system like master data management software that has the best material master data capabilities.

Material master data illustrates how one product and its raw materials are strategized, obtained, stocked and handled in the data warehouse, sold, classified, priced and phased out. Right MRP functions, corporeal stock and cycle counting performances and value and volume-centric classification which are the hallmarks of a perfect forecast-to-fulfill process directly rely on the precision and relevance of the material and product master data records.