How to Boost Working Capital During the New Normal


This eBook outlines the insights from Bank of America, CITIBANK and  Ernst & Young on what strategies and transformation initiatives should  be used to unlock cash flows and how A/R teams can contribute to  the CFO’s goal of improving working capital.

Contents

Chapter 01

Introduction

Chapter 02

Boost Liquidity: Advice To The Credit Teams

Chapter 03

CFO Initiatives In The New Normal

Chapter 04

About HighRadius
Chapter 01

Introduction


Pandemic-related disruption have intensified companies’ emphasis on cash management. A recent Hackett study highlighted that 75% of finance organizations took steps to optimize working capital practices during the pandemic, and 79% report they intend to make these changes permanent post-crisis, as continuing economic pressures force companies to bolster cash flow and working capital. In this eBook, we have highlighted the key insights delivered by leaders from Bank of America, Citibank and Ernst & Young during a recent panel discussion
with HighRadius.

What do the Speakers Say:

What do the Speakers Say

What do the Speakers Say

 

Chapter 02

Boost Liquidity: Advice To The Credit Teams


How can Credit teams add value to the CFOs office?

  • Focus on customer risk profiles: understand where your biggest risks are
  • Ensure that the operating cash model can be stretched for receivables  payment cycles
  • Collaborate with sales to recover faster and mitigate credit risks
  • Deliver meaningful intelligence for decision-making via easy-to-use reports  based on critical KPIs

What are the key indicators that finance leaders should track on a
day-to-day basis?

  • Days Sales Outstanding
  • Monitoring the cash flows for strategic customers through broken promise to pays, risk class changes from the last credit review

What are the effective levers for unlocking cash flow?

  • Centralize internal funds to get cash visibility
  • Get access to cash at a global-level & plan ahead for cash positions in near future
  • Recover past-dues through early payment discounts
  • Provide flexible payment terms to critical customers

How will digital transformation help Credit & A/R teams?

How will digital transformation help Credit & A/R teams?

Chapter 03

CFO Initiatives In The New Normal


What transformation initiatives would improve cash flow?

  • Flexible digital dashboards & tools that are easy to implement
  • Automated central view of cash movement and cash concentration tools

How CFOs can get prepared for internal change and communication?

  • Pre-defining what success looks like post-transformation
  • Setting up the right SLAs and governance to hold employees accountable for
    the success

What is the CFO’s number 1 priority as economies are opening up?

  • Access to types of payment terms offered: pre-crisis or post-crisis
  • Access to meaningful reporting at an executive-level
  • Selection of buyers as economic stress is mostly likely to continue

For CFOs and senior finance leaders, it is important to have a real-time access to data to understand how the risk behaviour of the customers are changing. With the aid of intelligent automation and technology, they are able to monitor their cash flows and financial risk alerts and proactively manage the finance & A/R operations.

Chapter 04

About HighRadius


HighRadius is a Fintech enterprise Software-as-a-Service (SaaS) company that leverages Artificial Intelligence-based Autonomous Systems to help 600+ industry-leading companies automate their Accounts Receivable and Treasury processes.

The HighRadius® Integrated Receivables platform reduces cycle times in your order-to-cash process by automating receivables and payments processes across credit, electronic billing and payment processing, cash application, deductions, and collections. The HighRadius® RadiusOne A/R Suite offers a pocket-friendly platform for hundreds of mid-sized businesses to enable faster A/R processing and enhance their working capital. HighRadius® Treasury Management Applications help teams achieve touchless cash management and accurate cash forecasting.

Powered by the Rivana™ Artificial Intelligence Engine and Freeda™ Digital Assistant for order-to-cash teams, HighRadius enables teams to leverage machine learning to predict future outcomes and automate routine labor-intensive tasks.

Processing over $2.3 Trillion in receivables transactions annually, HighRadius solutions have a proven track record of optimizing cash flow, reducing days sales outstanding (DSO) and bad debt, and increasing operational efficiency so that companies can achieve strong ROI.
HighRadius is the industry’s preferred solution for Accounts Receivable & Treasury and has been named a Leader by IDC MarketScape twice in a row.

To learn more, please visit www.highradius.com.

Chapter 01

Introduction


Pandemic-related disruption have intensified companies’ emphasis on cash management. A recent Hackett study highlighted that 75% of finance organizations took steps to optimize working capital practices during the pandemic, and 79% report they intend to make these changes permanent post-crisis, as continuing economic pressures force companies to bolster cash flow and working capital. In this eBook, we have highlighted the key insights delivered by leaders from Bank of America, Citibank and Ernst & Young during a recent panel discussion
with HighRadius.

What do the Speakers Say:

What do the Speakers Say

What do the Speakers Say

 

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HighRadius Collections Software automates and optimizes the credit & collections management process to improve collector efficiency, minimize bad debt write-offs, improve customer relationships, and reduce DSO. It provides a complete set of tools to optimize and automate the credit collections management process and enable the better prioritization of credit collections activities All the information you need (invoices, dispute information, POD, claims, tracking info, etc.) on each case is automatically presented in a collections work-space and is ready for use. Apart from the wide variety of benefits that it has, it also comes with some amazing features like CADE (Collection Agency Data Exchange), collector’s dashboard which has prioritized collections worklist, automated dunning & correspondence, dispute management, centralized tracking of notes, call logs & payment commitments along with cash forecasting functionalities. The result is a more efficient collections team that contributes to enhanced cash flow and reduced DSO.