scholarly journals Working Capital Management and Financial Performance of Private Hospitals in Western Uganda: The Mediating Effect of Competitive Advantage

2021 ◽  
Vol 6 (1) ◽  
pp. 12-23
Author(s):  
Muhindo Cranimar ◽  
Rwakihembo John
Keyword(s):  
Financial Performance ◽  
Competitive Advantage ◽  
Mediating Effect ◽  
Unique Contribution ◽  
Capital Management ◽  
Working Capital ◽  
Private Hospitals ◽  
Working Capital Management ◽  
Western Uganda ◽  
The Relationship

Purpose: This study aimed at examining the mediating effect of competitive advantage in the relationship between working capital management (WCM) and the financial performance of private hospitals in Western Uganda. Methodology: The study adopted a positivist approach and a cross-sectional research design to collect data from 32 Private hospitals in Western Uganda. A closed-ended questionnaire was used to collect data from hospital administrators, accountants, storekeepers and pharmacists in private hospitals who were purposively selected. Hierarchical multiple regression was used for data analysis. Findings: Results indicate that competitive advantage is a significant mediator in the relationship between working capital management and private hospitals' financial performance in Western Uganda. Unique Contribution to practice and policy: The study has deep-rooted the urgent need for private hospitals to adopt more innovative strategies to attain a competitive edge and hence superior financial performance. However, the study was positivistic, thus subject to methods bias that could have affected the results' validity. Keywords: Working Capital Management, Competitive advantage, financial performance

scholarly journals Working Capital Management Issues in Educational Sector: A Case Study of a Private Campus in Sri Lanka

2021 ◽  
pp. 30-45
Author(s):  
Kaushika Gamage ◽  
Vilani Sachitra
Keyword(s):  
Financial Performance ◽  
Thematic Analysis ◽  
Qualitative Data ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Cash Conversion Cycle ◽  
The Relationship ◽  
Management Issues

Business organizations try to maintain financial sustainability in the long run and ultimately try to maximize shareholders’ wealth. It has been argued that financial constraints in short term are a major barrier to the firms’ long term financial success. Working capital has seen as the basic factor that affect firm’s ability to continue their day-to-day business operations with financial stability. This case study mainly focuses on examining the reasons for working capital management issues faced by the Campus and the relationship between working capital and firm’s financial performance. This study is mainly focusing on working capital problems faced by a private Campus that operates in Sri Lankan educational sector. Required qualitative data gathered through semi-structured face to face interviews with financial experts and the quantitative data gathered using annual financial statements for last six years. Panel data regression was performed to identify the relationship between working capital management and financial performance. Qualitative data was analyzed using content and thematic analysis. Based on the regression results, average collection period, average payment period and cash conversion cycle have significant relationship over return on assets and net profit margin of the Campus. Five major themes were recognized in the thematic analysis which contained distinct subthemes. As the existing research articles lack the working capital management issues faced by the organizations in private education industry, this can be considered as an opportunity to perform an empirical study on working capital management issues faced by a private campus.

scholarly journals Mediating Role of Working Capital Management in the Relationship of Corporate Governance Measures and Firm Performance: Panel Study from Pakistan

2021 ◽  
Vol 7 (2) ◽  
pp. 273-286
Author(s):  
Areeba Khan ◽  
Rana Muhammad Shahid Yaqub ◽  
Awais Javeed
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Mediating Effect ◽  
The Other ◽  
Capital Management ◽  
Working Capital ◽  
Current Ratio ◽  
Working Capital Management ◽  
Relationship Of ◽  
The Relationship

Purpose: Corporate governance and management of working capital are seen as two main fields of corporate finance. The purpose of the research study is to examine the interrelationships between corporate governance, working capital management and performance of the firm.Design/Methodology/Approach: Sample consists of 140 non-financial firms listed on the Pakistan Stock Exchange from 2008 to 2015. Data has been analyzed by using structural equation model. Mediating effects of managing working capital have been tested by using the approach suggested by Preacher and Hayes (2008).Findings: The findings revealed that current ratio partially mediates the effect of size of the board and CEO role duality whereas fully mediates the Impact of a concentration of ownership on firm results. The other variable of working capital management i.e. cash conversion cycle has not shown any mediating effect in Corporate governance and the relationship between firm results. For the other relationship the study found that board size affects firm performance positively whereas CEO duality and audit committee independence have negative impact on profitability of firms. For the relationship of working capital management on firm Performance, the study identified substantial negative and positive impacts on firm performance of the cash conversion period and current ratio, respectively.Implications/Originality/Value: The current study was based on least considered variables and the pioneer in testing the complex relationship through SEM-AMOS.

A Study on Working capital Management in Hindustan Petroleum Corporation Limited

2021 ◽  
pp. 164-168
Author(s):  
Sruthi B ◽  
Rashmi R
Keyword(s):  
Annual Report ◽  
Pearson Correlation ◽  
Secondary Data ◽  
Effective Management ◽  
Capital Management ◽  
Working Capital ◽  
Short Term ◽  
Working Capital Management ◽  
The Past ◽  
The Relationship

Working capital management is important for every organization as it refers to the effective management of current assets and current liabilities. The aim is to make sure that the firm is capable to continue its operations and it has sufficient cash flow to satisfy both maturing short-term debt and upcoming operational expenses. In this paper, an attempt has been made to study the management of working capital in Hindustan Petroleum Corporation Limited, a leading public sector enterprise in India over a period of 10 years (That is from 2009-10 to 2018-19). The paper also attempts to study the components of working capital and analyze the relationship between liquidity and profitability of HPCL. The study is based on secondary data collected from annual report of HPCL for the past 10 years, Pearson correlation and regression model are used for this purpose. From the study it is found that there is a significant relationship between liquidity and profitability.

scholarly journals The Moderating Impact of Firm Size on the Relationship between Working Capital Management and Profitability

2019 ◽  
Vol 28 (3) ◽  
pp. 296-312 ◽  
Author(s):  
Ilhan Dalci ◽  
Cem Tanova ◽  
Hasan Ozyapici ◽  
Murad A. Bein
Keyword(s):  
Firm Size ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
The Relationship

scholarly journals Working Capital Management Practices

2019 ◽  
Vol 8 (2S8) ◽  
pp. 156-161
Keyword(s):  
Management Practices ◽  
Secondary Data ◽  
Project Work ◽  
Capital Management ◽  
Working Capital ◽  
Short Term ◽  
Good Opportunity ◽  
Working Capital Management ◽  
Money Flow ◽  
The Relationship

VJ Engineers is one of the popular organizations in Chennai. Seeing the good opportunity to study financial systems and practices of VJ Engineers, it is relatively important to take up assignment on ‘WORKING CAPITAL MANAGEMENT IN VJ ENGINEERS’. During the project work, it is being analyzed the working capital position of this organization. [1],[ 3],[5] Decisions relating to working capital and short term financing are referred to as working capital management. These involve managing the relationship between a firm's short-term assets and its short-term liabilities. The goal of Working capital management is to ensure that the firm is able to continue its operations and that it has sufficient money flow to satisfy both maturing short-term debt and upcoming operational expenses.The study of working capital management is very helpful for the organisation to know its liquidity position. The study is relevant to the organization to know the day to day expenditure. This study is relevant to give an idea to utilise the current assets.This study is also relevant to the student as they can use it as a reference. This report will help in conducting further research. Other researcher can use this project as secondary data uncovering of PDA incorporation in effects on police reports.

scholarly journals Manajemen Modal Kerja Dan Dampaknya Terhadap Nilai Perusahaan Dengan Corporate Governance Sebagai Variabel Pemoderasi

2014 ◽  
Vol 6 (1) ◽  
pp. 68
Author(s):  
Adrianus Dhimas Setyanto ◽  
Ika Permatasari
Keyword(s):  
Corporate Governance ◽  
Firm Value ◽  
Stock Exchange ◽  
Capital Management ◽  
Working Capital ◽  
Corporate Values ◽  
Working Capital Management ◽  
Enterprise Value ◽  
Cash Conversion Cycle ◽  
The Relationship

AbstractThis study aims to determine the effect of working capital management on firm value. Corporate governance is used as a moderating variable in this study to explore the role of corporate governance in the relationship between working capital management with corporate values. Program participants of Corporate Governance Perception Index (CGPI) are used as a sample during the period from 2003 to 2011 and listed on the Indonesian Stock Exchange (IDX). We were using simple linear regression and the testing of moderating effects were calculated by Moderated Regression Analysis (MRA). The results showed that the working capital management has an influence on the value of the firm. However, corporate governance variables failed to moderate the relationship between working capital management and enterprise value. It shows that companies and investors in the market still lack concern for the program response and Corporate Governance Perception Index (CGPI) as an assessment of the application of the principles of corporate governance that has been done by the company .Keywords: Working Capital Management, Cash Conversion Cycle, Corporate Governance, Firm Values

scholarly journals Impact of Loan Accessibility on Working Capital Management and Profitability: Comparative Study of Family Versus Non-Family Firms

2020 ◽  
Vol V (I) ◽  
pp. 220-230
Author(s):  
Kanwal Iqbal Khan ◽  
Adeel Nasir ◽  
Aniqa Arslan
Keyword(s):  
Comparative Analysis ◽  
Family Firms ◽  
Investment Decisions ◽  
Sustainable Growth ◽  
Capital Management ◽  
Working Capital ◽  
Financial Cost ◽  
Working Capital Management ◽  
Capital Rationing ◽  
The Relationship

This study is conducted to identify the direction of the relationship between working capital management (WCM) and firm performance of the non-financial sector of Pakistan from 2009 till 2018. This has also looked at the effect of restricted access to loan on the WCM- Profitability relationship. The findings confirmed that restricted loan accessibility impacts the WCM-Profitability relationship. The comparative analysis demonstrated that financially constrained firms are mostly non-family firms that are new, growing, smaller in size, face high risk, maintain high liquidity and tangibility ratios than non-constrained firms. Further, the working capital levels of financially constraint firms is lower because of high operating expenses and greater capital rationing. Managers and scholars may use these findings for the administration of their working capital policies in order to avoid the financial cost and create more opportunities for financial accessibility which is further beneficial for making informed investment decisions, yielding higher profits that contribute towards sustainable growth.

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