Cash Management – Methodologies and Strategies
Day One
09.00 - 09.15 Welcome and Introduction
09.15 - 12.00 General Introduction to Cash Management
- What is Cash Management?
- The role of Cash Management in the firm’s overall financial management
- How good cash-management practices can influence your company's growth and survival
Cash Flow Budgeting
- Identifying the sources and uses of cash flows from looking at the Balance Sheet and the Statement of Cash Flows
- Using budget simulations for measuring (uncertain) future cash inflows and outflows
- Identifying and quantifying critical “trouble spots” and vulnerabilities to cash flow shortfalls
- Case study
- Exercises
12.00 - 13.00 Lunch
13.00 - 16.00 Tools and Methods Optimizing Cash Usage
- “Just in time” inventorying
- Minimizing interest expense pooling and netting of debit and credit positions
- Using Electronic Transfer Systems for collecting receipts and making payments
- Using target balancing
- Using automated investments
- Using controlled-investment accounts
- Using end-of-day sweep accounts
- Using lock-box accounts
- Using short-dated money market instruments to optimize return on cash
- Identifying emergency sources of funding
- Case studies
- Exercises
Formulating and Implementing Policies and Procedures for Cash Management
- Establishing control procedures for securing cash collections and cash handling at all levels of the organization
- Defining responsibilities in cash management
- Procedures for billings, collections and deposits
- Procedures for foreign transactions
- Policies and procedures for internal controls
- Cash management review and reporting requirements
- Compliance with law and regulations
- Comprehensive case study: Cash management policies and procedures at the US Government
Evaluation and Termination of the Seminar
