As supply chain finance techniques grow in sophistication and banks ramp up their risk appetite, corporates should take the chance to optimise their working capital programmes, says Thomas Dusch, head of trade finance international sales at UniCredit in MaschinenMarkt.
The benefits of doing so extend far beyond simple maintenance of liquidity. Indeed, a comprehensive programme will help treasurers secure their companies against risks, stabilise their supply chains and achieve better rates on transactions with trading partners.
To achieve these benefits, however, firms must demonstrate greater levels of internal co-ordination – with treasurers leading the process of aligning finance, sales and procurement departments to execute quickly and efficiently. With seamless co-operation between these departments, firms can move ahead with optimising their working capital, focusing on two main areas: selling idle assets and improving access to credit for crucial suppliers.
To read the full article (in German), please click here.