Future-proofing your corporate bank: 7 signs your cash management solution needs an upgrade

Corporate treasurers are paying more attention to cash management, and for good reason. Research from EY found that large companies that excel in cash management were 19% more resilient compared to lower-performing peers. Meanwhile, Deloitte finds that the number of executives who are confident in their organization’s ability to manage cash and liquidity has dropped 9.5% from 2020. 

Part of this trend is that the bar for cash management is higher than it once was. Corporate treasurers and financial leaders are now expected to maintain real-time visibility, optimize liquidity, and quickly adapt to changing conditions. Yet, many are held back by outdated systems that can’t deliver the agility and insights required to stay competitive. 

Little wonder, therefore, that 40% of corporates plan to rationalize their banking partnerships in the coming years. Banks that can’t provide the service that customers require will find themselves left behind – here are seven key indicators that your cash management solution might be due an upgrade. 

7 signs your cash management solution needs an upgrade

1. Limited real-time cash visibility 

Without real-time data, decision-makers are left operating in the dark. For corporate treasurers taking on more strategic roles, this is a significant limitation.  

Siloed information leads to inaccurate cash forecasts, delayed decisions, and missed opportunities.  

Modern corporates need systems that can integrate with treasury and ERP platforms, as well as other business sources of data, to source instant insights and support strategic moves in volatile markets.

2. Inefficient reconciliation processes 

For businesses that process large volumes of transactions, manual reconciliation is not only time-consuming but also prone to errors that increase operational costs and drain financial resources.  

Treasurers looking to scale globally need automation tools that streamline processes, reducing errors and freeing resources for strategic decision-making. Cash management systems that centralize reliable financial data create the opportunity for automated reconciliation and shared cash visibility to drive both speed and accuracy across organizations. 

3. Complex multi-entity management 

Managing multiple regions, currencies, and regulatory nuances requires unified visibility and control from centralizing data and processes for treasury management . However, conventional cash management to provide the connected, holistic view that corporates need.  

Moving from a multi-account, physical model, to one based on Virtual Account Management (VAM) provides scalable, consolidated structures that streamline oversight, compliance, and reporting. 

4. Lack of predictive insights 

In a fast-moving market, cash management can’t afford to simply be reactive. Limited forecasting capabilities can result in missed liquidity opportunities and overdraft penalties on accounts. 

Cutting-edge advanced solutions based on accessible, clean, structured data can now leverage AI and predictive analytics to provide treasurers with actionable insights for more proactive cash flow management, liquidity optimization, and scenario planning.

5. Difficulty adapting to change 

Growth brings infrastructure challenges for businesses – new regions, regulations and business priorities require a different view of the data available. But updating systems from the ground up every time compliance rules change, for example, is expensive and time consuming. 

Whether it’s scaling to accommodate new markets or responding to regulatory shifts, the measure of flexibility is your system’s ability to adapt to customer needs. Modern platforms offer increased customization and scalability through a self-service model, enabling clients to manage their dynamic demands without the cost or lead time of a full reconfiguration. 

6. Limited self-service capabilities 

Your clients know their own needs – which is why more and more expect autonomy when managing their accounts. If your solution requires heavy input from bank representatives for routine tasks, this can frustrate clients and drain your internal resources. 

 Advanced self-service features empower clients to handle account management independently, improving satisfaction and operational efficiency, so they can focus on exactly what they need from your solution. 

7. Inconsistent support for multi-channel access 

With increased pressure on corporate treasury, your customers need access to their cash management tools anytime, anywhere, and on any device. But legacy solutions can struggle to provide the flexibility, up-to-date information and usability that clients need.  

API-enabled, networked solutions enable banks to offer a consistent experience across devices and formats, for seamless, consistent, multi-channel functionality across all platforms. 

Future-proofing your cash management solution 

If these challenges sound familiar, now is the time to invest in a modern cash management solution. Upgrades like Virtual Account Management (VAM) can transform your operations, delivering integrated, predictive, and flexible capabilities in as little as three months. With better visibility, streamlined workflows, and enhanced self-service and connectivity, your bank can strengthen client relationships, improve profitability, and secure its competitive advantage.