CO-EVOLUTION BETWEEN CCC-DRIVEN CASH FLOW MANAGEMENT AND TRANSFORMATION OF R&D – AMAZON’S ENDEAVOR
International Journal of Managing Information Technology (IJMIT) ISSN: 0975-5586 (Online); 0975-5926 (Print) http://airccse.org/journal/ijmit/ijmit.html Article: CO-EVOLUTION BETWEEN CCC-DRIVEN CASH FLOW MANAGEMENT AND TRANSFORMATION OF R&D – AMAZON’S ENDEAVOR Authors Yuji Tou1, Chihiro Watanabe2,3 and Pekka Neittaanmäki2 1 Dept. of Ind. Engineering & Magm., Tokyo Institute of Technology, Tokyo, Japan 2 Faculty of Information Technology, University of Jyväskylä, Finland 3International Institute for Applied Systems Analysis (IIASA), Austria Abstract Amazon became the world R&D leader in 2017 by rapidly increasing R&D investment. The company’s extremely large amount of R&D funds is the result of an ample free cash flow generated by sophisticated cash conversion cycle (CCC) management. Increased R&D induced business advancement and lean cost structure construction leading to further increase in cash flow which has stimulated interacti...
