By Deepa Saoji on May 21, 2013
Liquidity is the holy grail of cash management. Optimizing liquidity is a daily challenge for Cash managers. They have to maintain that delicate balance between having enough cash to make their payments without having too much cash sitting idle in low interest vehicles. PeopleSoft Cash Management 9.2 delivers the much improved Cash Positioning and Forecasting tool to help address this challenge.
Residing in the enterprise makes it really easy for the Cash Position Worksheet to gather transactional data from the entire enterprise. Payments, Receipts, Purchase Orders, Payroll amounts are all directly accessible from Accounts Payable, Accounts Receivable etc. Delivered views enable the Cash Position to access this data from their respective sources. This information is processed against the imported bank statement to get an accurate snapshot of the corporate cash balance position. What about about the transactions that are not in PeopleSoft that you would want to be reflected in the Cash Position? PeopleSoft Cash Management 9.2 delivers web services that allows third party data to be brought into the cash position very easily.
We also understand that you want to analyze your cash position across different parameters like Bank Accounts, Currencies, Business Units and more. Instead of creating different worksheets for each of these parameters, our Cash Positioning tool can slice and dice the numbers across four delivered dimensions of Bank, Bank Account, Currency and Business Unit. In addition, users can define their own dimensions for their analysis.
To round this off, there are representative charts to display your numbers on the Cash Position page; a trend analysis graph to show your numbers over the next month and a pie chart to show how the numbers are split up.
Salient features of this tool are
- Single worksheet that gathers transactions from the entire enterprise
- 7 day forecast in one single screen
- Drill down to the transaction from the worksheet itself
- Graphical trend analysis
- Pre-calculated numbers that can be sliced and diced across various dimensions
The calculated worksheet can be used for several purposes –
- Accurate Snapshot of Cash Balances
- Comparison of Actual vs Forecast
- What if Analysis with weighted changes to calculated numbers
Accurate, integrated, enterprise-wide cash forecasting is an ongoing challenge facing Cash Managers around the world. PeopleSoft Cash Management 9.2 provides leverage to the Cash Manager by providing a collection area for all banking activity, and that activity can be recognized as inflow versus outflow when it comes to cash. Optimizing liquidity is critical and it is now something that can be managed through PeopleSoft Financials.