CFOs have to assess efficiencies in the front office, facing the external market, and in the back office, where core processes take place. Between these two environments are the data and business intelligence that drive analysis and specialized financial functions. The best way for CFOs to ensure data is both accessible and reliable is by achieving automation in their systems. The approach to automation can combine various components but ultimately has to have its main goal be delivering a solution with the greatest return.
Challenges Involved in Manual Master Data Management
Managing bank master data can be an expensive process if maintained manually. Financial professionals dedicate a significant amount of their time to collecting and maintaining data, often using applications such as Microsoft Excel. This is impractical considering that bank master data often resides in disparate environments to be used in processes in accounts payable, accounts receivable, and treasury, to name a few.
Reducing payment failures is one the most important benefits of having reliable bank master data. In addition to bank fees and payment delays, payment failures cause slowed or stopped supply chains. With unreliable bank master data, disruptions in accounts receivable also occur, resulting in an immediate negative impact on cash flow.
Enterprise-wide standard systems are only part of the equation. Reliable master data has to be in place to exploit the full benefits of an ERP system.
Aside from the issue of payment operations themselves, the CFO has to assess the amount of time that is spent collecting this information manually. Without question, maximizing the financial professional’s efficiency in performing financial functions rather than collecting bank master data should be top priority.
Embracing standards in bank master data enables organizations to enter into partner banking relationships with more flexibility. Now, businesses can establish new accounts as needed to meet their growth. There can be more energy devoted to services arrangements without having to worry about reengineering core bank master data sets. This is never truer than when businesses enter new markets in emerging economies. This is about exploiting the full value of what an ERP system promises: flexibility and scalability. Enterprise-wide standard systems are only part of the equation. Reliable master data has to be in place to exploit the full benefits of an ERP system.
Secure Your Banking Data
The secret to managing these issues lies in securing the right banking data, while also ensuring access to relevant information when needed. Companies running SAP systems can overcome these data governance issues by providing payment flow transparency and seamless payment and settlement processing. To take full advantage of this functionality, the applications must be populated with the most complete, up-to-date bank master data.
With Accuity’s solutions, you can cleanse your current data, combine it with the comprehensive information on financial institutions found in our Global Payment File (GPF), and upload it directly into the SAP bank master.
Visit www.accuity.com/sapinsider for additional information about our exclusive solutions for SAP systems, to get in touch with one of our team members, or to download our “Building a Better SAP Payment Process” white paper.