Unveiling 2024 working capital trends—and what’s coming next has been saved
Perspectives
Unveiling 2024 working capital trends—and what’s coming next
Insights on financial indicators, AI, supply chain, and working capital
In a year marked by economic crosscurrents, businesses found themselves balancing resilience with agility. The 2024 Working Capital Roundup analyzed the performance of over 2,400 companies, uncovering how organizations are adapting to persistent inflationary pressures, supply chain disruptions, and rising interest rates, emphasizing working capital management for financial resilience.
Impact on key financial metrics
While consumer spending rebounded and GDP growth stabilized, challenges such as tighter monetary policies and geopolitical tensions complicated the management of working capital. To stay competitive, companies are leaning into strategic cash flow management and agile financial planning, underscoring the need for strong, forward-looking risk management practices in today’s volatile environment.
Working capital performance
2024 was anything but predictable—and yet, some patterns around working capital stood out. From subtle shifts in CCC to sector-specific improvements and a few unexpected dips, the numbers told a story of cautious optimism and strategic recalibration. While some sectors managed to improve their cash positions, others struggled to maintain momentum, especially toward the end of the year. The numbers reveal nuanced shifts in DSO, DIO, and DPO, along with clear signs of which sectors and company sizes came out ahead.
While the consumer sector reflects steady gains and a cautiously optimistic 2025 outlook, other industries - from life sciences and health care (LSHC) to technology, media, and telecommunications (TMT) - highlight distinct challenges and opportunities. Explore how other sectors are performing in our full report.
Looking ahead: What’s next for finance leaders
Big changes are on the horizon—and they’re coming fast. This year’s top trends point toward smarter tech, agile strategies, and stronger supplier partnerships reshaping the way we think about working capital. Here’s a sneak peek at two trends you can’t afford to ignore:
- Agentic AI: Agentic AI is quickly becoming more than just a buzzword—it’s reshaping how businesses operate across industries. Unlike traditional AI, which often waits for human input, agentic AI acts on its own using data, making real-time decisions and streamlining complex tasks. It’s not just about automation, it’s about autonomy. Discover how agentic AI is poised to reshape decision-making, planning, and customer engagement across industries.
- Supply Chain Finance: Supply chain finance (SCF) is no longer just a niche financial tool—it’s becoming a core strategy for navigating volatility, enhancing liquidity, and keeping supplier relationships strong. With market volatility on the rise, smarter supply chain finance isn’t just nice to have—it’s a necessity. Think better liquidity, stronger buyer-supplier relationships, and more resilient operations. As technology evolves and uncertainty looms, SCF is emerging as a crucial lever for working capital.
We help you thrive
In a world where agility and efficiency are everything, working capital performance isn’t just a metric—it’s a mindset. With the right strategies, tech, and partnerships, finance leaders can turn cash flow into competitive edge.
The next move? Making it all work smarter.
With our leading-edge technologies, insights, and experience, we help clients design a robust cash governance framework and move toward becoming an outcome-driven organization.
Read our previous reports:
- Working Capital Roundup: Capital freedom: Exploration of 2023 working capital trends
- Working Capital Roundup Q3 2023: Oil Field Services—US and Canada
- Working capital roundup: Q2-2023 snapshot
- Working Capital Roundup: Cash-generation opportunities - What we learned from 2022
- Working capital report: A look back at 2021
- Working capital roundup: Q3-2021 snapshot
- Working capital roundup: Q2-2021 snapshot
- Working Capital Roundup: A resilient response Q1 2020–Q1 2021
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