Days Sales Outstanding

Days Sales Outstanding (DSO) is a key measure of a finance team’s efficiency and is closely linked to days cash on hand and liquidity. Every organization is happy to have sales, but closing sales isn’t enough to keep a business afloat. Collections are key — and the faster the money comes in, the more breathing room an organization has. This infographic summarizes the DSO metric as reported to APQC’s Accounts Receivable Open Standards Benchmarking survey, along with considerations for improvement.