Optimization of the company's cash flow

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However, when the company found in a report "financial charges on turnover" exceeding 2%, at this stage it is not necessarily a cash flow difficulties. Therefore the Treasurer may have other immediate concerns than to reduce financial costs. It is mainly the case of the company with cash "broad", without maturity problem. Yet, a rationalization of the management of the cash to take advantage of this situation, by increasing the profitability of funds. Indeed, an improvement in the cash flow forecast can meet the triple question: Do you want to place Cash? How much cash can we place? For how long? What form (temporary or permanent employment)? In the case of the company where it is very 'tight' cash where it is important first of all to deal with deadlines, the problem is quite different. An improvement in the cash flow forecast will naturally to identify better the financial needs and prevent time his banker's difficult passages. The study of financial expenses does not alone diagnose the nature and the importance of liquidity difficulties. Moreover, it must consider fluctuations of bank balances. 1 ° the fluctuations of bank balances. The daily bank balance of a business in each of its banks should not fluctuate too strongly around zero. Fluctuations of bank balances come from a bad estimate inputs and outputs of funds, i.e. cash flow forecast absent or incorrect, or mistakes in the choice of short-term funding, or two both as is the most common case. «Quarterly interest scales» a business banks allow, on the one hand, to appreciate the quality of the forecast cash, and on the other hand, to assess the waste of financial expenses. 2 - SCALES OF INTEREST QUARTERLY. Should specify the nature of this instrument poorly known even for companies, before being able to appreciate its use 1 - Nature of the 'quarterly interest scales. Called 'quarterly interest scales', a table prepared by the Bank on which were likely bank balances classified by value date. As its name suggests, this table is established by quarter, and to calculate interest expense as well as various commissions due, if any, by the company to its bank. The company which refer to quarterly interest scales, information on the fluctuation of its bank accounts, can evaluate its possible waste of bank charges, and finally will appreciate the more or less good coordination of its operations with banks. 2 - The interpretation of the quarterly interest scales. Representing changes in bank balances by curves, can more easily assess the effectiveness of the cash management. (a) Trace the graph of daily balances as they appear in the books of the company (date of operation) and on the scales of interest (dated value). This work is done for each Bank and by quarter. In the first following figure, figure n°5: Iwaco’s inflows in the BMCI Account during 2015. And the next figure n°6: IWACO’s inflows in the AXB account during 2015 Page 82 of 124
20 000 000,00 DH Figure n°5: INFLOWS OF THE COMPANY YEAR 2015 / BMCI BANK 10 000 000,00 DH 0,00 DH CHEQUES EFFETS Effets/Encaissement Effets/Escompte * Espèce Siége * VERSEMENT AGENCES * Espèce déplacé : GROSSISTES * Espèce déplacé : DRC * Espèce déplacé : CARAVANES * Espèce déplacé : FRANCHISES *VIR Grand Compte *VIR Etranger *Autres VIR Rachat SICAV AUTRES 50 000 000,00 DH Figure n°6: INFLOWS OF THE COMPANY YEAR 2015 / AWB BANK 0,00 DH Janv.-15 Févr.-15 Mars-15 Avr.-15 Mai-15 Juin-15 Juil.-15 Août-15 Sept.-15 Oct.-15 Nov.-15 Déc.-15 CHEQUES EFFETS Effets/Encaissement Effets/Escompte ESPECE * Espèce Siége * VERSEMENT AGENCES * Espèce déplacé : GROSSISTES * Espèce déplacé : DRC * Espèce déplacé : CARAVANES * Espèce déplacé : FRANCHISES VIREMENTS *VIR Grand Compte *VIR Etranger *Autres VIR These two previous charts give example of the kind of presentations that the treasurer make to analyze the company’s financial cash flows and banks’ balances. (b) The approximation of curves of the scales of interest allows three observations: 1 ° the approximate knowledge of bank balances leads to errors of financial management. The gap between the date of operation curve and the curve in value date comes from what the Treasurer reason in date of operation and banker in value date. Thus, the Treasurer is brought permanently to underestimate or overestimate the true value of the accounts of the company. Thus it overstates or understates its financial needs, and so its use of funds. In other words, it ignores both the real discovered that it uses and the existence of idle cash. Referring to the scales of interest curves, the head of the Treasury can measure the degree of accuracy of its knowledge of the movement of the bank balances of its undertaking. 2 ° The poor coordination of banking results in unnecessary costs. A comparative analysis of the curves of the scales of interest of the various banks of a firm can appear simultaneously deficits in some banks and surpluses in others. The Treasurer has therefore in this case by ignorance of the amount of its availability on the day the day, paid unnecessary costs: it has at the same time supported the cost of an overdraft and funded surpluses. 3 ° Funding and investment decisions can be optimized. The establishment of scales of interest forecast allows three fundamental improvements from the point of view of the cash management: Page 83 of 124
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Page 3 and 4:
The Optimization of the Cash-Treasu
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FOREWORD Nor obtaining the diploma
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Page 9 and 10:
This project research is dedicated
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LIST OF ACRONYMS AND ABBREVIATION
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Figure n°1: Determination of the o
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TABLE OF CONTENTS Foreword ........
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SECOND PART: THE PRACTICE OF THE CA
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ABSTRACT Inside a world full of ban
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In addition, the monetary risk is a
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A good financial situation is chara
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Experience and observation prove th
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Whereas part of stocks was practica
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C = ax² + bx + c When the demand a
Page 31 and 32: The “Stocks” flow time: Average
Page 33 and 34: It indicates to what extent the rea
Page 35 and 36: RESULTS + FINANCIAL INTERESTS / FIN
Page 37 and 38: ANNUAL SALES H.T / NET FIXED ASSETS
Page 39 and 40: 4 - LIMITS THE PREDICTIVE VALUE OF
Page 41 and 42: This opposition led to the establis
Page 43 and 44: It will similarly be to calculate t
Page 45 and 46: However, this document synthesizes
Page 47 and 48: The cash has then for each day (or
Page 49 and 50: (b) SHORT-TERM DATA: Beyond the ver
Page 51 and 52: These three presentations are well
Page 53 and 54: Manage cash consists, in the tradit
Page 55 and 56: Anyway many authors have developed
Page 57 and 58: Either they consist on interest or
Page 59 and 60: (a) Economies of scale in the deten
Page 61 and 62: Type of Risk Analyze the Risk Evalu
Page 63 and 64: They may have originated an investm
Page 65 and 66: I. PRESENTATION OF THE ANALYSIS MOD
Page 67 and 68: II. DATA COLLECTION TOOLS For what
Page 69 and 70: Part II: The Practice of the Cash-
Page 71 and 72: Page 71 of 124
Page 73 and 74: 8. Development: Currently, this dep
Page 75 and 76: B. Dynamical competition While the
Page 77 and 78: 1.2 - The existence and the importa
Page 79 and 80: December - 2014 0,00 DH 1 599 918,6
Page 81: (a) Four sources of costs can be id
Page 85 and 86: Therefore; when the company realize
Page 87 and 88: implementing rules are poorly known
Page 89 and 90: Regardless of the method chosen, it
Page 91 and 92: date, but whose amount is known (e.
Page 93 and 94: 30% of the Turnover in the fifth pe
Page 95 and 96: OVERDRAFT’S COSTS = [33.000.000 D
Page 97 and 98: 3 ° - The Customer-Loan Control Co
Page 99 and 100: Profitability is the guarantee of t
Page 101 and 102: (b) The Positive Effect. Swelling o
Page 103 and 104: 2.2 - The influence of investment o
Page 105 and 106: There are thus two sets of 12 month
Page 107 and 108: S = The starting stock (possibly) +
Page 109 and 110: This chart is reserved to make clea
Page 111 and 112: operation wasn’t beneficial enoug
Page 113 and 114: 50% is paid to the supplier 14 days
Page 115 and 116: Figure n°18: Daly Balance of IWACO
Page 117 and 118: Regarding the previous chapters, an
Page 119 and 120: THE CONCLUSION Page 119 of 124
Page 121 and 122: Investment and its financing, Trai
Page 123 and 124: BOOKS: http://tel.archives-ouverte
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