Treasury Management Training Course.

Introduction

Treasury management is crucial for optimizing a company’s financial assets, managing liquidity, funding requirements, and mitigating financial risks. This 5-day course provides a comprehensive understanding of treasury functions, focusing on cash management, liquidity forecasting, risk management, corporate financing, and working capital optimization. Participants will learn how to implement effective treasury strategies that ensure the company’s financial stability and maximize shareholder value.

By the end of the course, participants will be equipped to manage treasury operations efficiently, optimize cash flow, and apply best practices in treasury risk management.

Course Objectives

• Understand the role of treasury in managing a company’s financial resources.
• Learn effective cash and liquidity management strategies.
• Gain insights into managing corporate funding, working capital, and debt.
• Develop risk management strategies to mitigate market, credit, and liquidity risks.
• Understand the key concepts in treasury management systems and automation.

Who Should Attend?

• Treasury managers, corporate finance professionals, and CFOs seeking to optimize cash flow and liquidity management.
• Bankers, investment professionals, and financial analysts involved in corporate treasury activities.
• Risk managers and compliance officers managing treasury operations and financial risks.
• Finance professionals looking to advance their knowledge of treasury operations and risk management.

Day 1: Introduction to Treasury Management and Cash Management

• Session 1: The Role of Treasury in Corporate Finance
  • The importance of treasury management in maximizing financial efficiency.
  • Key treasury functions: liquidity management, risk management, and corporate financing.
  • The role of the treasury team within the corporate structure.
  • How treasury interacts with other departments (accounting, operations, legal).
• Session 2: Cash Management Fundamentals
  • What is cash management? The process of optimizing cash resources.
  • Cash flow forecasting: techniques for predicting cash inflows and outflows.
  • Managing cash balances: the importance of maintaining optimal liquidity.
  • Bank account management: choosing the right banking partners and services.
• Session 3: Techniques for Effective Cash Flow Forecasting
  • Short-term vs. long-term cash forecasting.
  • Cash budgeting: operational forecasting vs. strategic planning.
  • Using historical data, market trends, and business cycles for accurate cash forecasting.
  • Implementing rolling forecasts for greater flexibility.

Day 2: Liquidity Management and Working Capital Optimization

• Session 1: Liquidity Management Strategies
  • Key principles of liquidity management: maintaining solvency while optimizing returns.
  • Tools for managing liquidity: cash pooling, zero-balance accounts, and short-term investments.
  • Managing intra-group financing: optimizing the flow of cash within a multinational company.
  • Strategies for managing excess liquidity: short-term investing and repatriating cash.
• Session 2: Working Capital Management
  • What is working capital? The relationship between current assets and current liabilities.
  • Optimizing working capital: inventory management, receivables, and payables management.
  • Reducing working capital requirements without affecting operations.
  • The role of cash conversion cycle (CCC) in working capital optimization.
• Session 3: Bank and Payment Systems Management
  • The role of banks in managing corporate liquidity.
  • Payment systems: electronic payments, SWIFT, and international payments.
  • The importance of secure and efficient payment processing systems.
  • Understanding and managing payment risks (fraud, system errors, etc.).

Day 3: Corporate Financing and Debt Management

• Session 1: Sources of Corporate Financing
  • Overview of corporate financing: debt vs. equity financing.
  • Debt instruments: short-term vs. long-term debt, bonds, loans, and credit facilities.
  • Equity financing: issuing shares, dividends, and stock buybacks.
  • Hybrid instruments: convertible bonds, preferred equity.
• Session 2: Managing Corporate Debt
  • The principles of corporate debt management: structuring debt, refinancing, and managing interest payments.
  • The role of debt covenants and maintaining good credit ratings.
  • Managing debt maturities and rolling over debt.
  • Debt sustainability analysis: calculating the debt-to-equity ratio and interest coverage.
• Session 3: Funding Strategies and Capital Markets
  • Funding strategies for capital raising: bond issuance, private placements, and public offerings.
  • Capital structure optimization: the cost of capital and maximizing financial leverage.
  • Accessing capital markets: IPOs, bond markets, and syndicated loans.
  • Evaluating external financing alternatives: the pros and cons of different financing methods.

Day 4: Risk Management in Treasury

• Session 1: Identifying Treasury Risks
  • Key risks in treasury management: market risk, credit risk, liquidity risk, and operational risk.
  • The impact of global economic factors on treasury management: interest rates, exchange rates, and commodity prices.
  • Understanding financial derivatives and their role in risk mitigation.
• Session 2: Hedging Strategies for Market Risk
  • Using financial derivatives to hedge market risk: futures, options, and swaps.
  • Managing interest rate risk: using interest rate swaps and forward rate agreements (FRAs).
  • Managing currency risk: forward contracts, currency swaps, and options.
  • Hedging commodities risk: using commodity futures and options.
• Session 3: Credit Risk and Counterparty Risk Management
  • Credit risk management: assessing counterparty risk and credit ratings.
  • Techniques for managing counterparty risk: collateral management, credit limits, and exposure monitoring.
  • The role of Credit Support Annexes (CSA) and collateral agreements in managing risk.
  • Evaluating and managing country risk in cross-border transactions.

Day 5: Treasury Systems, Technology, and Global Treasury Management

• Session 1: Treasury Management Systems (TMS)
  • What is a Treasury Management System (TMS)? Key features and benefits.
  • How TMS automates cash management, payment processing, and reporting.
  • Integration with Enterprise Resource Planning (ERP) systems and bank platforms.
  • Best practices for implementing a TMS and selecting the right software.
• Session 2: Technology in Treasury Management
  • The role of artificial intelligence and machine learning in treasury management.
  • Blockchain and its potential in treasury operations and cross-border payments.
  • Cybersecurity in treasury management: protecting sensitive financial data.
  • Innovations in payment systems: real-time payments, cryptocurrencies, and digital currencies.
• Session 3: Global Treasury Management
  • Managing treasury operations in a global environment: multi-currency management, cross-border payments, and compliance.
  • Centralizing vs. decentralizing treasury functions: global treasury centers and regional hubs.
  • Best practices in global liquidity management: cash pooling, intercompany lending, and currency management.
  • Case study: Managing a global treasury operation in a multinational company.

Course Conclusion

• Recap of Key Learnings
• Interactive Q&A Session
• Certification of Completion
• Networking Opportunity