corporate treasury's new role: strategic business advisor

E-Book: Corporate Treasury’s New Role: Strategic Business Advisor2 NO. 18©2013 SAP AG or an SAP affiliate company. All rights reserved.

CEOs want corporate treasurers “to aid in corporate decision making, whether the decisions are related to cash flow, funding, or risk considerations. Yet treasury functions lack the standardized banking network and universal access to their banking information that would enable them to provide that insight.”

Excerpted from Ascent to Power: Corporate Treasury’s New Role in the Business

Companies Want Their Treasury Groups to Become Strategic Advisors

http://bit.ly/11pLlxA


A Joint SAP/CFO Research Survey Finds That Companies Are Demanding Improvements in Treasury Processes, Collaboration, and Connectivity

Note: respondents were allowed to make up to three selections. Source: SAP/CFO Research Global Survey of Corporate, Finance, and Treasury Executives, 2013

What are your company’s three most important priorities for improving treasury performance?

Optimize treasury processes

44%

Work more closely with line-of-business management

32%

Improve treasury staff expertise or capabilities

31%

Expand or add treasury services

24%

Skills, Depth & Collaboration

Upgrade treasury information systems or technology

38%

Improve connectivity of treasury systems with external information systems

33%

Integrate better with non-treasury information systems

29%

Information & Visibility

Change the organizational or reporting structure for treasury

18%

Adjust treasury staffing levels17%

Organization & Staffing




Note: multiple responses allowed. Source: SAP/CFO Research Global Survey of Corporate, Finance, and Treasury Executives, 2013

“Significant improvement is needed.”

CEOs N = 62 CFOs N = 105 Treasurers N = 81

50

40

30

20

10

Strengthening liquidity Improving communication or connection with the information systems of third parties (e.g., suppliers, funding institutions, customers)

Optimizing internal funding across different countries

Reinvesting cash reserves in the business

40%

22%18%

* 38%

19%23%

*32%

14% 13%

*28%

15%12%

*

CEOs Have Higher Expectations for Improvements Than Finance Executives in Some Key Areas

CEO-level executives in the survey are much

more likely than finance executives to see the need for significant

improvement in treasury activities linked to growth operations.

*




Treasury Departments Will Be Looking for Banking Partners That Can Help Them Meet Increased Demands from the Business

Note: percentages may not add up to 100 due to rounding. Source: SAP/CFO Research Global Survey of Corporate, Finance, and Treasury Executives, 2013

Over the next two years, is your company likely to seeknew banking partners?

29%Yes

50%Will

Consider

17%No

5%Don’t Know




Source: Q&A: Treasurers Want Cloud, But Do Banks?

Companies Will Seek a More Consultative Relationship with Their Current and Future Banking Partners

Is your company likely to scrutinize current or prospective financial services provides more thoroughly over the next two years? 44%

Yes

47%Will

Consider

5%Don’t Know

7%No

Note: percentages may not add up to 100 due to rounding. Source: SAP/CFO Research Global Survey of Corporate, Finance, and Treasury Executives, 2013

WE HAD A NUMBER OF EXECUTIVES SAY THEY WOULD LIKE TO BE ABLE TO PARTNER WITH THEIR BANKS IN A MORE CONSULTATIVE WAY. ”

“David Owens, Director of Research, CFO Research

http://bit.ly/VcybDf


Which of the following statements do you believe best reflects your company’s position on using cloud computing technology to automate its banking relationships?

Note: percentage of respondents may not add up to 100 due to rounding.Source: SAP/CFO Research Global Survey of Corporate, Finance, and Treasury Executives, 2013

My company is likely to be an early adopter of cloud computing for banking relationships.

My company is likely to be a fast follower in adopting cloud computing for banking relationships.

My company is likely to adopt cloud computing for banking relationships when most of its peers do so.

My company is likely to adopt cloud computing for banking relationships after most of its peers.

My company is not likely to adopt cloud computing.

One of the Ways Banks Can Start to Build a More Consultative Relationship Is by Offering Cloud-Based Analytical Services

9%

19%

38%

27%

8%

40

30

20

10




There’s More

The SAP Center for Business Insight is an organization that discovers and develops new research- based thinking to address the challenges of business and technology executives.

TO GET THE FULL ANALYSIS OF THE SAP/CFO RESEARCH SURVEY—AND FIND OUT HOW TREASURY AND BANKS SHOULD RESPOND TO THE FINDINGS—READ ASCENT TO POWER: CORPORATE TREASURY’S NEW ROLE IN THE BUSINESS.


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