Mastering the Top 3 Essentials of Treasury Management

Written by Trovata Team
July 27, 2021

As technology has evolved, treasuries’ mission has remained the same: know your current cash position and forecast your future position accurately. In most cases that is not a simple task due to the manual workaround required to calculate your cash position. By mastering these three treasury management essentials, you can execute your treasury management strategy flawlessly:


Top 3 Treasury Management Essentials


1. Knowing Your Organization’s Real-Time Cash Position

If you don’t have an accurate view of your organization’s real-time cash flow and position, you are making decisions in the dark. When managing your treasury in disparate systems, it’s nearly impossible to gain a real-time view of your cash. By the time you’ve manually consolidated and normalized your organization’s financial data across all bank accounts, you still are making decisions based upon outdated information. New transactions already have been reflected in your bank accounts, but your calculated cash position doesn’t reflect these.

Fortunately, recent technological advances made it possible to obtain real-time cash insights. Major banking partners now offer API connections that other platforms can connect to. Trovata utilizes Direct-To-Bank APIs to automate the consolidation and normalization of your cash and transaction data, thus establishing a financial big-data pipeline between your multiple banking accounts and your cash management platform. These next-level bank connections provide your cash management platform up-to-the-hour transactions and cash balance details from your multiple bank accounts. These connections provide you with the real-time cash insights needed to drive better and quicker business decisions.


2. Utilize Scenario Planning and Forecasting to Better Prepare for Potential Financial Crisis

Efficient treasury management strategies have contingency plans built in to address any potential crisis. For example, the economic effects of the COVID-19 pandemic has made many organizations see the importance of performing scenario planning in order to prepare for any future, global financial crisis. Companies that can analyze, report on and forecast cash faster and more accurately can better cope with financial downturns because they can quickly implement their contingency plans to combat ongoing crises. 

Having a platform that can generate automated forecasts and perform quick scenario planning is critical to ensure you stay ahead of any financial crisis. Trovata enables you with the flexibility to apply growth rates and variables to your automated forecasts, empowering you to easily and accurately forecast around changing scenarios, business decisions, and potential investments. This way, you are prepared for any disaster scenarios and growth opportunities that arrive at your organization’s door.


3. Be Able to Communicate the Story Behind Your Cash Insights

Knowing your current and forecasted cash flow and positions is only the first step to scaling your treasury management strategy. You must be able to communicate the story behind those insights in order to increase buy-in for your strategy.

Having prewritten strategies backed by data from scenario planning and accurate forecasts ensures that anyone on your team can clearly speak to how your organization will overcome financial shortfalls. This level of transparency into your strategy empowers C-suite executives to make better and more informed decisions when they matter most.


Mastering Treasury Management Essentials Calls for a Modern Treasury Solution

If your current treasury tech stack is still requiring you to perform arduous manual labor to discover critical cash insights, your tech stack is holding you back from mastering the essentials of treasury management. And for many treasuries, this is still the case. Gaining your organization’s accurate cash position involves manually entering your bank data into your treasury management system, which is a slow process that brings the possibility for errors and delays. There’s a better way to manage your treasury. 

Enter Trovata, our automated cash management platform empowering some of the largest companies, like Square, to gain powerful insights into their cash flows. Since its inception, the Trovata platform has been designed to address frustrations with traditional treasury management systems by helping you eliminate your most tedious treasury tasks, so you and your team can focus on accomplishing strategic initiatives that drive value for your business.

Trovata empowers you with more control over your business by:

  • Establishing a big-data financial pipeline between your bank partners and Trovata utilizing Direct-To-Bank APIs

  • Automatically consolidating and normalizing your cash and transaction data in one, secure platform

  • Enabling you to reference historical data with just a few words in milliseconds with the Natural Language Search processor

  • Categorizing and segmenting transactions into tags, which can be utilized to generate future reports and forecasts

  • Providing you with a comprehensive suite of automated, real-time cash reporting, forecasting and analysis functionality


By digitally transforming your treasury with Trovata, you gain a solution that will empower you to master the essentials of treasury management and to execute your treasury management strategy with precision. Download the Trovata Platform Data Sheet to learn how you can gain powerful cash insights and begin to drive better and quicker business decisions.

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