Borlas Cash Management System of treasurer cash management

Specialists of Borlas presented the solution "System of Treasurer Cash Management" in October, 2010. This development solves a problem of automatic integration of all data from the ERP system, necessary for planning, thereby facilitating adaptation of ERP under requirements of the Russian business regarding control of financial flows.

The system of treasurer cash management" represents the separate module which is based on technologies of Oracle and intended for storage, processing and data analysis about the forthcoming actual payments and receipts in different analytical cuts and ranges of dates. The solution can or be used as a part of corporate information systems of management on the basis of Oracle applications of E-Business Suite of versions 11 and 12 from the first stages of an implementation project of ERP, or be integrated with the system which is already operating at the enterprise, explained in the company.

The detailed job analysis of financial and economic services of the Russian enterprises which is carried out by consultants of Borlas showed that a modern ERP system effectively solves problems of cost control, however the companies should make considerable efforts for process automation of cash management and liquidity. According to Borlas, it is connected with the fact that these processes are not system, information base on the movement of money resources is poorly integrated between different divisions of the enterprise, and the situation in general is characterized by domination of paper document flow.

Development of IBSBorlas in many respects eliminates these difficulties as provides automatic integration of all data from the ERP system, necessary for planning, that facilitates process of adaptation of ERP under requirements of the Russian business regarding control of financial flows. At the same time the problem of handmade large volume when obtaining planned and actual values on cash flow is removed, emphasized in Borlas. There is an opportunity in a foreground mode to analyze and to effectively make decisions on use of funds of the company as within the procedure of operational planning, and the actual execution of the planned payment schedule. Simplification and acceleration of work of staff of financial and economic services who are engaged in planning and control of use of money becomes result of implementation.

As the value of our new development I will note a possibility of approval of the forthcoming payments not only at the level of branches and dependent legal entities, but also at the level of management company, – said. – It saves the enterprises from the considerable amount of internal paper document flow. A system also allows to perform the forecast with the horizon from a week to one month that promotes improvement of quality and transparency of planning. We already implement projects on system implementation at a number of the Russian enterprises, and together with them we estimate the expected economic effect in more than 20 million rubles of an additional profit in the first year of use of the solution in each case. Such economy is reached due to cutting of costs for service of credit resources, at the same time financial and economic services generate an additional profit thanks to more effective placement of free money director of the department of business applications and technologies of Oracle in IBS Oleg Garankin

Key benefits of system implementation of treasurer cash management:

• Complete centralization of process of management of money in the unified information system with a possibility of viewing primary documents and data on the agreement.
• Increase in financial discipline and control over money: an exception of a possibility of an uncontrolled funds expenditure, abuses and errors at execution of payments.
• Work in unified information environment and cutting of costs for development and support of integration with external systems.

Functional properties of a system

Formation of planned requests

Planned requests perform function of formation and approval of the financial plan and can be created from contractual and logistic circuits. Planned requests are reflected in the planned payment schedule as the forecast of payments and if necessary are adjusted for balancing on trading days for the purpose of elimination of red balance. From planned requests the actual requests form.

Formation of the actual requests

The actual requests perform function of execution of the financial plan with budget control and also the current adjustments of the financial plan. Approval of requests happens in electronic form to the help of the Oracle Workflow procedures. At the same time both parallel, and consecutive approval and also viewing history of approval according to each request is possible.

Payment schedule

The payment schedule performs function of the forecast of cash flow. It allows to create data on inflow and cash outflow with a possibility of correction of dates of planned payments.

Program for creation of payments

The program for creation of payments performs function of execution of payments and integration with a system "Bank client" via the module Cash flow. The program executes automatic formation of payments in the module "Creditors" for OEBS 11i or "Payments" for OEBS R12 on the basis of the approved requests (the register of payments).

Project experience

The system of treasurer cash management is applied by the largest Russian enterprises among which there is MGUP "Mosvodokanal", Magnitogorsk Iron and Steel Works OJSC, JSC Sukhoi Design Bureau, JSC CenterTelecom, JSC Chelyabenergosbyt, JSC Perm GRES.