Cash Forecasting Maturity Assessment

After speaking to 800+ Treasury practitioners, we designed a capability maturity assessment to help organizations benchmark their short-term liquidity forecasting processes.

Is your company a Laggard, Proactive, Strategic, or Best-in-Class? This 5-question quiz will help you understand how you are doing.

Q1. Does your organization forecast short-term cash for investment, borrowing, and/or working capital decisions?

Yes
No

Q2. What is your primary approach towards short-term cash forecasting?

Based on intuition and personal experience
Current actuals and simple estimates
Top down approach (e.g., forecasts based on consolidated
accounts)
Bottoms up approach (e.g., forecasts based on
entity- or account-level transactions)

Q3. What is the primary method you use for forecasting data for the main cash flow categories in your short-term cash forecasts?

Manual inputs
Weighted rolling average
Disbursements and Receipts
Regression analysis and other algorithms

Q4. How often does your organization perform variance analysis on your forecast to actual?

Daily
1 or more times per month
Less than once per month
Once per quarter or less

Q5. Typically, how frequent are your short-term cash forecasts relative to your decision-making needs?

Too late to be significant in making decisions
3-2 weeks but no sufficient time to take any actions
Updated when needed by stakeholders
Continuously and automatically updated