Latest Centralisation Articles
Mergers and acquisitions are opportunities to streamline treasury processes, get budget for new technology and demonstrate leadership. However, it is probably the risk of business failure that motivates treasurers most to implement best practices for global cash, liquidity and risk management in the combined company.
Centralisation of payments and collections, and simplification of bank account structures, have been amongst treasurers’ and finance managers’ objectives for many years. The challenges have often proved insurmountable - but that is changing.
Companies with a high degree of payment and liquidity management centralisation enjoy reduced costs, improved liquidity and FX management, and closer working relationships with their treasuries. Yet for many receivables still lie outside this structure and remain the preserve of local business units, so cost savings have yet to be realised.
In today’s pro-growth environment, corporate treasury demands a level of maturity from service platforms that deliver liquidity risk, asset financing, mobility and multi-bank solutions to help fund operations and expand the business footprint. Here are eight essential components of next-generation corporate treasury solutions.