By Pieter Cronje, Head of Cash & Liquidity, TreasuryONE
The global climate has underscored the need for quick financial decision-making and doing so accurately and effectively is paramount for continued success.
The advantage lies in cash forecasting automation – a powerful tool that grants you invaluable insights into your financial landscape.
Here are five ways it can transform your financial management strategy:
Managing the uncertain economic climate
Organisations need to retain control over cash flow to mitigate uncertainties. Cash forecasting automation plays a pivotal role in providing reliable and streamlined cash flow data, allowing businesses to anticipate and manage future financial surprises effectively. By automating cash flow forecasting, you gain the ability to make informed financial decisions with confidence.
Focus on strategic priorities
Manual cash reporting and forecasting are time-consuming tasks that drain skilled financial employees of valuable hours. One study by CFO.com estimates that skilled financial professionals waste 10 hours weekly on manual financial tasks. Automating these processes with solutions allows your team to shift their focus to longer-term strategic objectives. By freeing up valuable time, your team can concentrate on high-value tasks that drive your business forward.
Repay expensive debt faster
With recent interest rate hikes, it’s crucial to optimise cash and debt levels efficiently. Automated cash flow forecasting provides detailed visibility into current and future cash flows, enabling better decision-making regarding debt repayment. By managing cash flow effectively, you can minimise borrowing costs and maximise profitability—a key factor for sustainable business growth.
Real-time Accuracy & Timeliness
Automation eliminates the errors associated with working in disconnected spreadsheets. Automated cash flow forecasting offers real-time monitoring of cash flow data, a significant advantage over traditional manual methods. By automatically pulling data from your ERP or other sources, it provides an accurate and timely overview of your financial situation. This timely information empowers quicker decision-making, helping your business adapt swiftly to market changes and opportunities.
Leveraging automated cash flow forecasting provides your organisation with the speed and precision needed to stay ahead. Research by Tipalti reveals that 70% of CFOs have begun investing in financial automation to drive efficiencies. By embracing automation, you position your organisation for sustained growth and ensure you’re not left behind in this evolving technological landscape.
Incorporating automated cash flow forecasting into your financial management strategy is more than just a modernisation—it’s a strategic necessity. The insights and efficiency gained through automation can give your business the edge it needs to succeed and thrive amidst today’s financial challenges.
Stay ahead, stay competitive, and embrace the future of financial management with automated cash flow forecasting solution.
Visit our Cash and Liquidity solution page for more information.