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Course Outline
Day 1: Core Principles of Cash Management and Daily Positioning
- Foundational concepts in corporate cash management
- Defined roles and accountability for cash management functions
- Interdependencies among treasury, finance, accounting, procurement, and operational units
- Distinguishing between profitability, cash flow, and liquidity
- Analysis of cash inflows, outflows, and liquidity status
- Basics of the cash conversion cycle
- Components of operating, investing, and financing cash flows
- Assessment of bank balances and available funds
- Methodologies for establishing daily cash positions
- Challenges associated with cash visibility
- Reporting requirements for daily liquidity
- Practical exercise: Preparation of daily cash position statements
Day 2: Cash-Flow Forecasting and Strategic Liquidity Planning
- Essential elements of cash-flow forecasting
- Application of direct and indirect forecasting techniques
- Determining forecast horizons and planning intervals
- Implementation of rolling forecasts and liquidity strategies
- Prediction of customer receipts and operational disbursements
- Forecasting debt obligations and capital expenditure
- Strategies for mitigating forecast uncertainty
- Utilization of scenario planning and sensitivity testing
- Analysis of deviations between forecasts and actuals
- Enhancing forecast precision and governance standards
- Practical exercise: Construction of a 13-week cash-flow projection
- Workshop focused on forecast variance analysis
Day 3: Working Capital Management and Internal Cash Optimization
- Foundations of working capital administration
- Optimization of receivables, payables, and inventory levels
- Metric analysis of Days Sales Outstanding (DSO)
- Metric analysis of Days Payable Outstanding (DPO)
- Evaluation of Inventory Holding Days
- Detailed analysis of the cash conversion cycle
- Enhancing collection processes and invoicing efficiency
- Management protocols for delinquent receivables
- Strategic approaches to supplier payment schedules
- Evaluation of incentives for early payment
- Techniques for inventory efficiency
- Coordination of cross-functional working capital initiatives
- Practical exercise: Comprehensive working capital analysis
- Group activity: Development of improvement strategies
Day 4: Banking Relationships, Payment Systems, Funding, and Cash Concentration
- Administration of corporate banking accounts
- Management of institutional banking relationships
- Review of bank fees and service terms
- Overview of domestic and international payment mechanisms
- Controls for payment approval and authorization
- Protocols for fraud prevention and payment security
- Implementation of segregation of duties and internal controls
- Structures for cash concentration and pooling
- Mechanisms for zero balancing and target balancing
- Arrangements for intercompany funding
- Options for short-term capital acquisition
- Utilization of overdrafts, revolving credit, and loans
- Allocation of short-term investments and deposits
- Practical exercise: Comparative analysis of funding sources
- Case study on preventing payment fraud
Day 5: Cash Risk Management, Reporting, Technology, and Continuous Improvement
- Management of liquidity and funding risks
- Assessment of counterparty and banking risks
- Identification of operational and payment-related risks
- Mitigation of interest-rate and foreign exchange exposure
- Role of treasury technology and cash management platforms
- Integration of bank portals and treasury management systems
- Automation of reconciliation and reporting processes
- Development of cash management dashboards and performance indicators
- Formulation of policies and governance frameworks
- Standards for management reporting and liquidity disclosure
- Comprehensive case study on integrated cash management
- Planning for continuous cash management enhancements
- Final evaluation and participant presentations
Requirements
Participants are recommended to possess the following:
- A foundational understanding of finance, accounting, or treasury functions.
- Familiarity with financial statements and cash flow principles.
- Experience in finance, accounting, treasury, budgeting, or related public sector roles is advantageous but not required.
- Basic proficiency in spreadsheet software for forecasting and analytical exercises.
35 Hours
Testimonials (2)
Fun to talk
Jihan Fadila - BAF
Course - Root Cause Analysis (RCA) for Internal Audit
Very practical. Trainer was very flexible in ensuring we meet our needs.