Eurofinance recently conducted some global research (173
entities in 21 countries) to better understand the impact of treasury influence
over three key internal working capital functions based on the value of
forecast reports used by key internal “treasury customers”, CFO’s, Financial
Controllers, and Operating Entities. The results, in their words, “make a
strong case for treasury to work more closely with key working capital
functions and to use supply chain and customer / vendor data in forecasts”.
This makes good sense. When liquidity planning can be based
on empirical sales and purchase order activity months in advance, and not just
the AP and AR balances posted to the General Ledger, the quality of those
forecasts can’t help but improve. Likewise, based on those more reliable
projections, advantageous policies and actions can be taken in those same working
capital systems to better leverage opportunity, and fund operations out of
internal working capital. This also reduces reliance on external funding
sources which in turn reduces costs, and improves investment returns—a classic
win-win.
Today, great opportunities exist to make valuable
connections between the better insights found in our treasury systems, and the policies
and procedures of various operational working capital systems, from AP to AR to
Purchasing to Sales. Of supreme value to understand these opportunities are
both the expertise and guidance of a strong technology partner, and, even more
importantly, the experience of peers who are already reaping the benefits of their
success, and able to share their stories and the value of their experience.
Nowhere better than at SAP’s SAPPHIRE NOW conference in
Orlando, Florida (June 3rd through 7th) will treasurers
and finance professionals have an opportunity to both see the technology that’s
winning awards (2013 Adam Smith Awards for Best Working Capital / AP / AR
Solution, Best Cash Management Solution, and Best Process Re-Engineering
Solution) as well as meet the companies who are setting the standards for
excellence. (Over 5,000 corporate attendees are already registered, with more
coming every day). Special sessions will cover new technology, from In-Memory
Computing to Cloud deployment options, and Meet-the-Experts panels will talk
about everything from cash to compliance.
Be there! Don’t miss out!
