Key findings Overall, treasury respondents remain optimistic about the future of the department. As in 2018, they expect it to become more involved in strategic decision. And they have high hopes for new technology, particularly automation, and the impact it will have on their department. But in 2020, we also surveyed business leaders, and they are not as positive. They see the treasury as a specialist function—good at what it does, but not much else. 12% Share of businesses where the treasury is actively driving digital transformation. 39% Two fifths of companies said the Group Treasurer was responsible for treasury digitalisation. Down from 73% in 2018. 95% nearly all respondents anticipate robotics and automation having an impact on their business. 12% only a minority of treasury respondents report that their department has a digitalisation strategy. The treasury is still operating on the periphery The treasury is generally not regarded as a particularly innovative area of the business and is rarely seen as a key player in setting their organisation’s strategy and plans for digital transformation. Typically, it only has a supporting role—respondents were most likely to say that the treasury is “occasionally involved” or “has a voice, but not the final say”. Today, the treasury is actively pushing digital transformation in just one in eight (12%) businesses. But treasury respondents in our survey were confident that it will be a strategic partner for management, actively involved in setting the agenda, by 2025. Innovation continues at pace, treasuries are falling behind The rate of digital change and innovation within businesses continues at ever increasing pace. But it seems that few businesses look to their treasury to help them keep up, beyond securing necessary funding. While businesses are already enjoying some of the benefits of innovation, so far they are often internal—e.g., increased efficiency. While improvements in process and reduction of waste etc. can indirectly benefit customers—enabling better service and lower prices for example—to build a more sustainable business and see greater benefits, more outwardfacing innovation is needed. Automation remains a priority, but ambitions are lower Contrary to the bold expectations for increased automation in our 2018 study, the actual levels of automation have not changed much. Despite this, treasury respondents still expect to see an increase in the level of automation in their department by 2025. But ambitions have been tempered. Whether caused by the realisation of the difficulties involved, including recruiting the required skills, or dramatic changes in the business environment, expectations for 2025 are now lower than they were in 2018. There remains a gap between expectations and action Our study shows that treasuries are generally still focused on the skills needed to “do the job”, not changing perceptions and building strategic influence. But treasury respondents accept that the key skills needed are changing. While the treasury probably won’t need coding skills, to build renewed relevance it must become a centre of excellence, expert in how new systems work and integrate with other systems and processes. Treasury 2025 / 11 / 2020
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