[Column] Why is cash flow chronically difficult?

I would like to introduce a column article.

This is because no one other than the president is considering cash flow. Cash flow refers to understanding the situation of incoming and outgoing funds in the future and quickly taking balancing measures. "Without sales, there is no business; without funds, there is no sustainability." This is a fundamental principle of management, and it must connect as naturally as breathing in and out. When this connection is lacking, managers suffer. A common trait of companies that struggle with this connection is the prevalence of specialists who are overly focused on their own areas of expertise. Specialists are those who have no interest beyond their own fields and pay no attention to other strategies necessary for running the company. They may be involved in sourcing materials, producing products, and selling them, but they only care about delivery and inspection, completely ignoring the subsequent collection of payments and payment for purchases. Such individuals will likely insist that when the company runs out of funds and cannot issue bonuses, despite their hard work and increased sales, they wonder why this is happening. The principle that management cannot exist without funds is fundamental, and the lack of awareness regarding financial matters is particularly troublesome.

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