Activity KPI

in this section you will learn all about KPI regarding Activity section in Dashboard.

You can access the Activity segment by clicking the "Activity" in dashboard as below.

There are 3 KPI related to activity such as;

Cash Conversion Cycle (CCC)

Definition : Measure that helps to evaluate how efficient a company’s operations and management processes are. It basically measures the time needed for the company to sell its inventory, the time required for the company to collect receivables, and the time that the company is allowed to pay its invoices without incurring any penalties

Important : A shorter cycle improves cash flow and operational efficiency.

Formula : Inventory Turnover Days + Trade Receivables Turnover Days - Trade Payable Turnover Days

Days Inventory Outstanding (DIO)

Definition : The average number of days inventory is held before it's sold.

Important : Lower DIO indicates faster inventory turnover, improving liquidity.

Formula : Inventory / Cost of Goods Sold x No of Days

Trade Receivable

Definition : amounts owed to a business by its customers for goods or services delivered on credit