Average Payment Terms across Industries

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Since 2008 financial debacle, companies have been continuously pushing the payment terms for their suppliers.As companies continuously focus on managing their cash-flow, Procurement department is always asked to coming with new payment vehicles or keep on extending the terms. As per a recent survey conducted by Procurement leaders across 470 companies across the globe, there is a great variance across different industries. Following is the average payment terms across industries as per this survey

- Telecom and utilities: 72 days

- Public services: 60 days

- Food and Drinks: 53 days

- Manufacturing and engineering: 53 days

- Healthcare and pharmaceutical : 52 days

- Technology: 51 days

- Logistics: 48 days

- Financial Services: 45 days

- Energy and raw materials: 39 days

You can read more details about this survey by using the following link

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