Benchmarking Treasury for Shareholder Value

3 Benchmarking Treasury for Shareholder Value Evolving Ecosystems: Are Treasury Management Systems meeting treasury’s needs? Despite the increasing recognition of technology as an important enabler to meet risk management objectives, approximately half of the survey’s participants reported that their treasury management systems do not fully support financial risk management processes. Many companies need to consider making material changes to optimize their treasury and financial technology core infrastructure, with the majority identifying cost and integration of technologies as the biggest challenges to overcome. Key technology highlights from the CTD survey include: • 63% of respondents noted that their treasury management system (TMS) was either not integrated or only partially integrated with their enterprise resource planning (ERP), which provides the required underlying business data to help identify risk exposures. • 45% highlighted that their TMS did not support financial risk management processes, thereby creating greater complexity and potential for error. • 77% reported that they lack full integration of their ERP and TMS infrastructures with banks, creating additional manual processes. • Respondents are starting to embrace new technologies for efficiency and integration, with 58% leveraging robotic process automation (RPA) and 54% using application programming interfaces (APIs). Looking ahead, 54% of respondents call for continuous improvement in operational treasury efficiency, with 77% expecting technology advances to drive fundamental changes in the treasury function. Companies are looking to banks as key partners in their journey to transform treasury, with 79% of respondents highlighting their intent to acquire innovative solutions from banks for this end. As corporates increasingly recognize technology as an important enabler in meeting risk management objectives, they are searching for ways to effectively integrate their ecosystem and, while doing so, automate repetitive tasks. Trusted partners with long-standing relationships are well placed to provide critical support and help corporates navigate the rapidly-changing landscape.