In a recent survey report from CFO Research, sponsored by SAP, financial leaders revealed an urgent need to find a next-generation solution for the challenges they face while performing cash management and forecasting. Like those CFOs, treasurers, and controllers, you’ve probably come to terms with the reality of the volatile landscape facing your company. While we discussed the particulars of those challenges in part one of this series, it’s now time to find out how you can implement a solution to those problems, and how companies that have already done so are achieving success.
Top priorities for a cash management solution
To achieve a CFO mandate to address problems in cash management efficiency, accuracy, and flexibility, you’ll need to implement a technology solution that excels in these key areas:
- Centralization: One of the biggest hindrances to efficient cash management is a fragmented systems landscape. Instead of operating within a hodge-podge framework of legacy software, proprietary processes, and outdated technology, you need a solution that can provide consistent uniformity to the office of finance and treasury. That consistency is the only way to find a single source of truth to rely on for your decision-making.
- Optimization: Process automation is a top priority to succeed in today’s business world. Reducing the need for manual input in areas like control management frees your personnel to focus on high-value tasks and reduces the opportunities for errors and miscommunication.
- Flexibility: In a world where the very foundations of market sectors can change in a second, you need systems that enable you to adapt in real-time and pivot on the spot to address new challenges.
- Insight: In an increasingly unpredictable marketplace, you need to enhance your ability to forecast accurately where your business is going in the future, and how your cash positions will impact its ability to succeed there.
Implementing next-generation technology for cash management
As they work to achieve those top priorities for cash management, businesses are increasingly relying on transformative, groundbreaking technology. As the parent company to Australia’s iconic dairy producer Devondale, MG turned to SAP’s treasury and financial risk management solutions to help bring its timeless business into the new millennium.
MG’s primary objectives were to:
- Eliminate manual procedures to boost efficiency
- Centralize office of finance and treasury processes to let its global organization operate from one playbook
- Boost efficient utilization of its staff
- Enhance its ability to accurately predict future challenges to reduce costs and make better decisions
After engaging SAP for a rapid deployment of its treasury and finance solutions, MG achieved these key benefits:
- It’s now able to perform real-time, centralized position management and reporting.
- Its treasury and finance processes are now standardized, and preconfigured to maximize efficiency.
- Its functions are now automated to an unprecedented degree, reducing FTEs and overall treasury costs.
- It now has greater control of its data than ever before, maximizing its information security.
How next-generation tools help companies succeed
Across every sector, statistics show that companies reap abundant rewards after implementing a next-generation cash management solution. A recent report from the Aberdeen group revealed these key metrics:
- Best-in-class companies implement next-generation solutions, 50 percent more than their competitors.
- Competitors are 73 percent less likely to be able to simultaneously manage cash and risk compared to best-in-class companies using next-generation tools.
- Best-in-class companies are 29 percent more likely to be able to detect and reduce fraud by using next-generation tools.
Face the future today
It’s time to give your business the tools it needs to achieve simple finance in a world that’s anything but. Discover how other companies have achieved success by implementing SAP’s treasury and financial risk management solutions.