The benefit of an integrated
Financial-Management
consists among others in:
- Timely recognition of liquidity bottlenecks.
- The identification of potential risks
in respect to currencies and interest rates.
- The fulfillment of outside investors‘ rating
criteria.
- Active compliance with the requirements of legal regulations
such as KonTraG, Basel 2, IAS etc.
The Bottleneck aced
by many enterprises today is to obtain an updated, comprehensive and
above all reliable global view of the current and future liquidity situation
of their business units, by simply pressing a button.
Widely publicized corporate insolvencies and the advent of the Basel
II proposals are not the only factors that have elevated liquidity oriented
management to its current prominence in the sphere of corporate governance.
Without enterprise-wide financial planning that also deploys information
systems, the objectives extrapolated from such planning stand little
chance of successful realization.

The risks entailed
by a lack of knowledge about the financial situation of one‘s
own enterprise are legion. Risks attached to the changes in financial
markets are having a profound effect on enterprise success.
Examples for these risks are:
- Financing packages that are not optimally balanced, making
them all the more costly.
- Potential risk that is neither fully taken into account nor actively
managed.
- Inadequate conformance with legal regulations pertaining to
documentation.
- The fact that satisfying outside investors‘ appetite for information
requires such strenuous efforts.

The potential
generated by professionally implemented financial planning solutions
in conjunction with an enterprise-wide financial planning system is
enormous, however – and, moreover, is readily demonstrable in
view of the extravagant amounts of capital that are being poured into
today’s enterprises and the high ROI yielded by such investments.
The deployment of Internet and Intranet
technologies promotes the kind of communication process amongst various
enterprise divisions that is needed in order to achieve a healthy return
on investment.
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