Market overview of the working capital management market
Technavio’s research analyst predicts the global working capital management market to grow steadily at a CAGR of 20% during the forecast period. The improvement in inventory management is the primary growth driver for this market. Many companies are trying to focus on achieving optimal inventory levels. They are setting up robust systems that can track and control inventory systems. This will enable the company to maintain accurate inventory counts and track the inventory performance. A faster inventory outflow leads to a faster cash generation, which increases the working capital for the company.
The current trend of online receivable financing is expected to boost the market growth during the forecast period. This trend has led to the opening of competitive auctions, which is helping companies to meet their day-to-day working capital needs through online receivable financing platform.
Industry segmentation and analysis of the working capital management market
- Retail and consumer industry
- Energy, utilities, and mining industry
- Industrial manufacturing industry
- Engineering and construction industry
- Technology industry
- Automotive industry
The retail and consumer industry dominated the market accounting for 28% of the overall share during 2014. The decreasing dependence of industries on retailers will give them access to customers who have a higher buying power. Retailers are expected to offer a number of demand discount and rebates during the forecast period to attract customers. This will subsequently increase the payment terms and improve the working capital performance of the industry.
Geographical segmentation and analysis of the working capital management market
- Asia
- US and Canada
- Europe
- Americas
- Middle East
- Australia
- Africa
Asia accounted for 36% of the market share during 2014 and is expected to grow at a CAGR of 23% during the forecast period. The cash opportunity from the working capital in this region is high when compared to other regions due to the high net working capital in Asian industries. Industries are trying to avoid errors and boost efficiency by shifting their focus to the ERP technology sophistication, which will increase productivity and the overall cash generation.
Competitive landscape and key vendors
Many businesses are focusing on the firms’ receipt and disbursement of cash to manage the optimum level of working capital. Therefore, businesses that have a strong working capital management are framing strategies such that they can hedge against the macroeconomic scenario and bring in huge capital to their businesses.
The leading vendors in the market are -
- Citibank
- Bank of America Merrill Lynch
- BNY Mellon
- Standard Chartered
- HSBC Global Asset Management
- Raiffeisen Bank
- JP Morgan Asset Management
The other prominent vendors in the market include Deutsche Bank, UniCredit, and SEB.
Key questions answered in the report include
- What will the market size and the growth rate be in 2019?
- What are the key factors driving the global working capital management market?
- What are the key market trends impacting the growth of the global working capital management market?
- What are the challenges to market growth?
- Who are the key vendors in this market space?
- What are the market opportunities and threats faced by the vendors in the global working capital management market?
- Trending factors influencing the market shares of the Asia, US and Canada, Europe, Americas, Middle East, Australia, and Africa?
- What are the key outcomes of the five forces analysis of the working capital management market?
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Table of Contents
PART 01: Executive summary
PART 02: Scope of the report
- Market overview
- Top-vendor offerings
PART 03: Market research methodology
- Research methodology
- Economic indicators
PART 04: Introduction
PART 05: Basel III and working capital
PART 06: Working capital in US GAAP and IFRS
PART 07: Working capital performance metrics
PART 08: Forms of bank financing
PART 09: Market landscape
- Market overview
- Concepts based working capital
- Market size and forecast
- Five forces analysis
PART 10: Market segmentation by industry type
- Global working capital management market in retail and consumer industry
- Global working capital management market in energy, utilities, and mining industry
- Global working capital management market in industrial manufacturing industry
- Global working capital management market in engineering and construction industry
- Global working capital management market in technology industry
- Global working capital management market in automotive industry
PART 11: Geographical segmentation
- Global working capital management market by regions
- Working capital management market in Asia
- Working capital management market in US and Canada
- Working capital management market in Europe
- Working capital management market in Americas
- Working capital management market in Middle East
- Working capital management market in Australia
- Working capital management market in Africa
PART 12: Market drivers
PART 13: Impact of drivers
PART 14: Market challenges
PART 15: Impact of drivers and challenges
PART 16: Market trends
PART 17: Vendor landscape
- Competitive landscape
- Other prominent vendors
PART 18: Key vendor analysis
- Bank of America Merrill Lynch
- BNY Mellon
- Citigroup (Citibank)
- HSBC Global Asset Management
- J.P. Morgan Asset Management
- Raiffeisen Bank
- Standard Chartered
PART 19: Appendix
PART 20: Explore Technavio
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
- Manufacturers and suppliers
- Channel partners
- Industry experts
- Strategic decision makers
Secondary sources
- Industry journals and periodicals
- Government data
- Financial reports of key industry players
- Historical data
- Press releases
DATA ANALYSIS
Data Synthesis
- Collation of data
- Estimation of key figures
- Analysis of derived insights
Data Validation
- Triangulation with data models
- Reference against proprietary databases
- Corroboration with industry experts
REPORT WRITING
Qualitative
- Market drivers
- Market challenges
- Market trends
- Five forces analysis
Quantitative
- Market size and forecast
- Market segmentation
- Geographical insights
- Competitive landscape