Training Course on Treasury Management and Global Liquidity

Training Course on Treasury Management and Global Liquidity

Introduction

In today's dynamic and interconnected global financial landscape, effective Treasury Management and robust Global Liquidity strategies are paramount for organizational resilience and sustainable growth. Training Course on Treasury Management and Global Liquidity delves into the critical principles and cutting-edge practices required to navigate market volatility, optimize cash flows, mitigate financial risks, and leverage technological advancements. Participants will gain actionable insights into real-time treasury, cash flow forecasting, risk management frameworks, and digital transformation within the treasury function, ensuring their organizations maintain financial stability and competitive advantage.

The evolving role of the treasury function, from a transactional cost center to a strategic business partner, demands a deep understanding of sophisticated financial instruments, regulatory compliance, and advanced analytics. This course is meticulously designed to equip finance professionals with the expertise to implement best-in-class treasury operations, enhance working capital optimization, and strategically manage cross-border liquidity. By mastering these essential skills, individuals will be empowered to drive significant value, improve financial decision-making, and contribute directly to their organization's long-term success in a rapidly changing global economy.

Course Duration

10 days

Course Objectives

Upon completion of this course, participants will be able to:

1. Master real-time cash visibility and control for enhanced liquidity management.
2. Develop and implement advanced cash flow forecasting models utilizing predictive analytics and AI.
3. Design and optimize global cash pooling and in-house banking structures for multinational corporations.
4. Effectively identify, measure, and mitigate various financial risks, including FX risk, interest rate risk, and counterparty risk.
5. Leverage treasury technology solutions, including Treasury Management Systems (TMS) and APIs, for operational efficiency and automation.
6. Formulate and execute robust working capital optimization strategies to improve cash conversion cycles.
7. Navigate complex regulatory compliance landscapes in global treasury operations, including ESG finance.
8. Implement advanced payment processing and fraud prevention mechanisms in a digital environment.
9. Strategicially manage banking relationships and negotiate favorable terms for international financial services.
10. Understand the implications of Central Bank Digital Currencies (CBDCs) and blockchain on future treasury operations.
11. Develop resilient liquidity buffers and conduct effective stress testing for financial preparedness.
12. Integrate data analytics and business intelligence tools for informed treasury decision-making.
13. Align treasury strategy with overall corporate objectives to drive strategic financial performance.

Organizational Benefits

• Proactive management of cash and liquidity, reducing the risk of financial distress.
• Improved efficiency in managing receivables, payables, and inventory, freeing up capital.
• Effective mitigation of market, credit, and operational risks, safeguarding assets.
• Real-time insights into global cash positions, enabling informed decision-making.
• Automation and streamlining of treasury processes, reducing manual errors and costs.
• Strategic management of bank partnerships leading to more favorable terms and services.
• Adherence to evolving financial regulations, minimizing penalties and reputational damage.
• Equipping treasury professionals to act as strategic partners, contributing to corporate growth initiatives.
• Adapting to new technologies and financial trends, positioning the organization for future success.
• Minimizing borrowing costs, optimizing investment returns, and reducing transaction fees.

Target Audience

1. Treasury Professionals
2. Finance Managers and Directors.
3. Risk Management Professionals
4. Corporate Accountants
5. Investment Managers.
6. Banking Professionals
7. Audit and Compliance Teams.
8. Business Owners and Entrepreneurs.

Course Outline

Module 1: Introduction to Modern Treasury and Global Liquidity

• The evolving role of Treasury in the 21st Century: From cost center to strategic partner.
• Understanding the core functions of Treasury: Cash, Liquidity, Risk, and Funding.
• Key drivers of change in Global Liquidity: Economic volatility, geopolitical shifts, technological disruption.
• Setting up the Treasury function: Centralized vs. Decentralized models.
• Case Study: Analyzing a multinational corporation's journey in centralizing its treasury operations to gain enterprise-wide liquidity visibility.

Module 2: Advanced Cash Flow Forecasting

• Methods of cash flow forecasting: Direct, Indirect, and Integrated approaches.
• Leveraging predictive analytics and machine learning for enhanced forecast accuracy.
• Challenges in global cash flow forecasting: Multi-currency, intercompany transactions, data fragmentation.
• Scenario planning and sensitivity analysis for robust cash flow projections.
• Case Study: A manufacturing company uses AI-powered forecasting to anticipate seasonal cash flow swings and optimize working capital.

Module 3: Global Cash Management Structures

• Cash pooling techniques: Notional pooling, zero balancing, and multi-currency pooling.
• Implementing in-house banking and payment factories for efficient cash flows.
• Optimizing bank account structures and rationalizing banking relationships.
• Cross-border cash concentration and legal/tax considerations.
• Case Study: A global retail chain implements a multi-currency notional pooling structure to centralize liquidity and reduce external borrowing.

Module 4: Liquidity Risk Management

• Defining liquidity risk: Funding liquidity risk and market liquidity risk.
• Measuring and monitoring liquidity risk: Liquidity ratios, stress testing, and early warning indicators.
• Developing and maintaining robust liquidity contingency plans.
• Managing short-term funding sources and optimizing liquidity buffers.
• Case Study: A financial institution navigates a market downturn by executing its liquidity contingency plan, drawing on pre-approved credit lines and optimizing asset sales.

Module 5: Interest Rate Risk Management

• Understanding interest rate exposures: Repricing risk, basis risk, yield curve risk.
• Measuring interest rate sensitivity: Gap analysis and duration analysis.
• Hedging strategies using interest rate derivatives: Swaps, forwards, and options.
• Managing debt portfolios and optimizing borrowing costs.
• Case Study: A corporate treasury uses interest rate swaps to convert floating-rate debt to fixed-rate, mitigating the impact of rising interest rates on its financing costs.

Module 6: Foreign Exchange (FX) Risk Management

• Types of FX exposure: Transaction, translation, and economic exposure.
• Measuring and quantifying FX risk.
• FX hedging instruments: Forwards, futures, options, and currency swaps.
• Developing an effective FX risk management policy and governance framework.
• Case Study: A technology company with significant international sales implements a rolling forward hedging program to protect its revenue from adverse currency fluctuations.

Module 7: Counterparty Risk Management

• Identifying and assessing counterparty risk in treasury operations.
• Setting counterparty limits and diversification strategies.
• Mitigating counterparty risk through collateral management and netting agreements.
• Regulatory frameworks impacting counterparty risk (e.g., Dodd-Frank, EMIR).
• Case Study: A corporate treasury updates its counterparty risk assessment framework after a major bank downgrade, adjusting exposure limits and diversifying its banking relationships.

Module 8: Treasury Technology and Digital Transformation

• Overview of Treasury Management Systems (TMS): Selection, implementation, and integration.
• The role of APIs (Application Programming Interfaces) in real-time treasury connectivity.
• Embracing Robotic Process Automation (RPA) and Artificial Intelligence (AI) in treasury.
• Cybersecurity in treasury: Protecting against fraud and data breaches.
• Case Study: A manufacturing firm successfully implements a cloud-based TMS, automating reconciliation processes and gaining real-time visibility into its global cash positions.

Module 9: Working Capital Optimization

• Strategies for optimizing accounts receivable management: Credit policy, collections, and factoring.
• Efficient accounts payable management: Discount capture, payment terms, and supply chain finance.
• Inventory management best practices for liquidity.
• The cash conversion cycle: Measurement and improvement strategies.
• Case Study: A retail company re-negotiates payment terms with its suppliers and implements a dynamic discounting program, significantly improving its cash conversion cycle.

Module 10: International Payments and Trade Finance

• Global payment infrastructure: SWIFT, SEPA, real-time payments (RTP).
• Managing cross-border payments efficiently and securely.
• Traditional trade finance instruments: Letters of credit, guarantees, and documentary collections.
• Emerging trends in trade finance: Blockchain and digital trade platforms.
• Case Study: An importing business leverages a letter of credit to secure a new international supplier relationship, minimizing payment risk for both parties.

Module 11: Treasury Operations and Controls

• Best practices for treasury policies and procedures.
• Internal controls in the treasury function: Segregation of duties, authorization matrices.
• Treasury audits and compliance frameworks.
• Fraud prevention and detection in a digital payment environment.
• Case Study: A large corporation revamps its treasury internal controls after an attempted payment fraud, implementing multi-factor authentication and stronger payment approval workflows.

Module 12: Capital Structure and Funding

• Understanding various funding sources: Debt, equity, and hybrid instruments.
• Debt issuance and management: Loans, bonds, and commercial paper.
• Capital allocation strategies and optimizing the cost of capital.
• Bank relationship management and negotiating credit facilities.
• Case Study: A growing company decides between issuing corporate bonds or securing a syndicated loan to fund a major expansion project, analyzing the pros and cons of each.

Module 13: Sustainable Finance and ESG in Treasury

• Introduction to Environmental, Social, and Governance (ESG) principles.
• The role of treasury in sustainable finance: Green bonds, sustainability-linked loans.
• Integrating ESG factors into investment and funding decisions.
• Reporting and disclosure requirements for sustainable treasury practices.
• Case Study: A company issues its first green bond to finance renewable energy projects, aligning its funding strategy with its sustainability goals.

Module 14: Regulatory Landscape and Compliance

• Key global financial regulations impacting treasury (e.g., Basel III, EMIR, Dodd-Frank).
• Anti-Money Laundering (AML) and Know Your Customer (KYC) requirements.
• Data privacy regulations (e.g., GDPR) and their impact on treasury data.
• Tax implications of global treasury structures.
• Case Study: A multinational firm adapts its treasury operations to comply with new reporting requirements under a regional financial regulation, streamlining its data collection and submission processes.

Module 15: Strategic Treasury and Future Trends

• Treasury as a strategic advisor to the CFO and board.
• Mergers & Acquisitions (M&A) and treasury integration.
• Emerging technologies: Blockchain, DLT, and their potential impact on treasury.
• The future of payment systems: CBDCs and instant payments.
• Case Study: Treasury plays a pivotal role in the post-merger integration of two large companies, harmonizing their banking relationships and consolidating treasury systems.

Training Methodology

This program utilizes a dynamic and interactive training methodology designed for maximum participant engagement and practical skill development. The approach includes:

• Interactive Lectures and Discussions: Explaining key concepts, theories, and best practices.
• Real-World Case Studies and Scenarios: Applying theoretical knowledge to practical, industry-relevant challenges.
• Group Exercises and Workshops: Collaborative problem-solving and hands-on application of tools and techniques.
• Practical Demonstrations: Showcasing functionalities of Treasury Management Systems (TMS) and other financial tools.
• Q&A Sessions: Encouraging active participation and addressing specific participant queries.
• Peer Learning and Networking: Opportunities for participants to share experiences and build professional connections.
• Pre-Course Reading and Post-Course Resources: Providing foundational knowledge and ongoing learning materials.

Register as a group from 3 participants for a Discount

Send us an email: info@datastatresearch.org or call +254724527104 

 

Certification

Upon successful completion of this training, participants will be issued with a globally- recognized certificate.

Tailor-Made Course

 We also offer tailor-made courses based on your needs.

Key Notes

a. The participant must be conversant with English.

b. Upon completion of training the participant will be issued with an Authorized Training Certificate

c. Course duration is flexible and the contents can be modified to fit any number of days.

d. The course fee includes facilitation training materials, 2 coffee breaks, buffet lunch and A Certificate upon successful completion of Training.

e. One-year post-training support Consultation and Coaching provided after the course.

f. Payment should be done at least a week before commence of the training, to DATASTAT CONSULTANCY LTD account, as indicated in the invoice so as to enable us prepare better for you.