North American Giants Miss $1.94 Trillion Working Capital Opportunity
Event summary
- The Hackett Group's 2026 survey reveals $1.94 trillion in untapped working capital among North America's 1,000 largest public companies, up 12% from 2025.
- Receivables inefficiencies grew 29% year-over-year to $773 billion, the largest and fastest-growing source of working capital inefficiency.
- Days sales outstanding (DSO) deteriorated by 2.1 days, while days payable outstanding (DPO) improved by 2.9 days.
- Only 98 of the 1,000 companies improved their cash conversion cycle for three consecutive years.
The big picture
The Hackett Group's findings highlight a growing disconnect between revenue growth and working capital efficiency among North America's largest companies. Despite strong financial performance in 2025, excess working capital reached record levels, driven by receivables inefficiencies. The survey underscores the strategic importance of AI-driven process transformation in unlocking trapped cash and sustaining financial performance gains.
What we're watching
- AI Transformation
- How AI-driven process redesigns will affect working capital efficiency.
- Receivables Management
- Whether companies can sustain improvements in receivables performance beyond isolated collections initiatives.
- Inventory Strategy
- The pace at which companies will reduce buffer stock as supply chain uncertainties diminish.