WORKING

CAPITAL
MANAGEMENT

Submitted To
Ms. Afroza Sultana
Assistant Professor
Discipline Of Finance
Premier University,
Chittagong

DIGITAL TRANSFORMING IN
WORKING CAPITAL
MANAGEMENT

PROSPECTIVE AREA –

❖CASH MANAGEMENT
❖ ACCOUNTS RECEIVABLE MANAGEMENT
 GROUP
MEMEBERS

Brishti Chowdhury Sanjina Akter Srabonty Chakraborty

1904010109969 1904010109946 1904010109950

Mohammad Sakib Al-Ealid Sadib Ayon Das

1904010109958 1904010109996 1904010109987
 Introduction

• A digital cash management system is a tech

platform that automates cash flow management in
an organization. It uses electronic tools to monitor
and optimize cash transactions, providing real-time
financial data visibility. This system improves
efficiency, enhances accuracy, and includes features
like cash forecasting, liquidity management, risk
assessment, and banking systems integration.

• A digitalized accounts receivable system is a

computerized platform that tracks customer debts. It
automates invoice generation, payment reminders,
and payment recording. The system integrates with
financial software to improve efficiency. Digitizing
this process reduces errors, accelerates cash flow,
and enhances customer relationships through
transparency.
Digitalization plays a crucial role in cash management
and accounts receivables. Here are some key points:

Improved Client
Experience
Automation and
Efficiency

Data Analysis and

Consultancy

Compliance with
Accounting Principles

Consolidated View of
Cash

Higher Yields
 How much does digitalized cash management and
accounts receivable enhance the work performance?

• Digitalized cash management and accounts

receivable processes streamline tasks, save time,
and minimize errors. Real-time tracking
enhances financial decision-making and ensures
liquidity for obligations. Automation of
invoicing and payments reduces administrative
burdens and improves collections. Accounts
receivable systems accelerate payment cycles,
improving cash flow and reducing bad debts.
Analytics enable trend identification, cash flow
forecasting, and optimization of credit policies.
 Position

❑ Several countries have made significant

advancements in digitalized cash management
and accounts receivable systems.
• Sweden,
• Singapore,
• Denmark, and
• the United States

❑ According to The Daily Star newspaper

Bangladesh was making strides in digital
transformation, including digital cash
management and accounts receivable.
 Literature Review about Digitalized Cash management
and Accounts receivable
• Research by Wang and Li (2020) found that
businesses implementing electronic invoicing
and online payment portals experienced a 25%
reduction in Days Sales Outstanding (DSO) and
a 20% improvement in cash flow compared to
those using traditional paper-based methods.
• A case study by Patel et al. (2019) demonstrated
how the implementation of automated collection
systems resulted in a 30% decrease in DSO and
a 15% increase in collection efficiency for a
medium-sized retail company.
• Analysis by Smith and Johnson (2018) showed
that businesses leveraging accounting software
with integrated receivables management features
achieved a 40% increase in productivity and a
30% reduction in processing costs compared to
manual methods.
Cash Management Software

TROVATA

Trovata provides a best-in-class cash management experience.

With rapid bank on boarding, start managing all the bank
accounts, across all institutions, in one platform. Firms will get
daily cash information and achieve a complete view of cash.
 Cash Management Software

TROVATA
Process of the work

▪ Cash Flow Analysis: View all cash inflows and outflows in

one place. Better manage and visualize cash data.

▪ Cash Forecasting: Leverages AI and machine learning

algorithms to analyze historical cash flow data and predict
future cash positions.

▪ Cash Reporting: Offers tools to monitor cash flow

performance, track key metrics, and identify areas for
improvement.

▪ Cash Positioning: Leveraging real data, obtain a

consolidated view of your live cash position.

▪ Payments: Initiating Real-time Payments (RTP) and wire

transfers all in one platform.
Cash Management Software

KYRIBA

Kyriba helps firms in cash forecasting, optimizes liquidity,

mitigates risks etc. This enables organizations to make informed
decisions and optimize their cash management strategies
effectively.
 Cash Management Software

KYRIBA
Process of the work

▪ Cash Forecasting: Analyze historical cash flows, current

financial data, and market trends to generate accurate cash
forecasts.

▪ Liquidity Management: It allows businesses to efficiently

allocate funds and optimize cash usage to meet liquidity
needs by providing tools.

▪ Risk Management: Safeguard their cash positions, identify

and mitigate currency fluctuations, interest rate exposure,
and counterparty risk.
 Benefits of Digitalized Cash
Management

▪ Automation boosts efficiency and increase productivity.

▪ Enhanced accuracy in transaction tracking.
▪ Improved security via encryption and authentication.
▪ Real-time visibility into cash flow.
▪ Streamlined reconciliation of accounts.
▪ Seamless integration with other financial systems.
▪ Reduction of human errors.
▪ Access to insights for better decision-making.
 Accounts Receivable Transformation: From Paper
to Digital

Create Customer Account

Generates Invoice

Follows -up on Payments

Acknowledges & Processes

Payment

Customer Reconciliation
How to choose Accounts Receivables Management
Software

User-
Friendliness

Features and
Functionality

Integration

Security
&
Pricing
Accounts Receivable Management Software

HIVER

Hiver is a platform that helps teams simplify finance operations,

especially accounts receivable. The best thing about Hiver is that it
works with Gmail, and teams can get started without any extensive
training.
 Accounts Receivable Management Software

HIVER
Process of the work

▪ Centralized Communication : Hiver can help finance teams

working on accounts receivable easily manage all conversations
around invoices and payments
.
▪ Collaboration Made Easy : Finance teams can collaborate on
invoices, cash collection requests, and bookkeeping queries
seamlessly

▪ Automation for Efficiency : Hiver offers automation features

that can be tailored to the needs of finance teams.
 Accounts Receivable Management Software

FRESHBOOKS
FreshBooks is a cloud-based billing & invoicing software that helps small business
owners and freelancers automate accounts payable and receivable processes

Process of the work

Users can create invoices using customizable templates and

send them to clients via Gmail. FreshBooks allows clients to
make payments online through various payment gateways.
The software automatically tracks payment status and sends
reminders for overdue invoices. Users can also set up
recurring invoices for subscription-based services and
access reporting tools to analyze accounts receivable data.
Accounts Receivable Management Software

GAVITI

Gaviti is a dedicated platform designed to simplify and enhance the

accounts receivable invoice-to-cash process. It offers businesses a
clear and organized view of all billing activities, ensuring that every
invoice is tracked and acted upon
 Accounts Receivable Management Software

GAVITI
Process of the work

▪ Invoice Management: Gaviti allows businesses to

efficiently manage and track all their invoices, ensuring that
each one is accounted for and followed up on.

▪ Payment Forecasting: Gaviti uses data to predict when

payments are likely to come in, helping businesses plan their
finances better.

▪ Automated Notices: Gaviti automates the process of

sending out reminders and notices for due payments, reducing
manual effort and ensuring consistent communication with
customers.
 Summary of
findings
Cash Management:

Trovata: This solution offers robust cash

management features like analysis, forecasting, and
real-time reporting. With swift bank onboarding,
automated reports, AI-driven insights, and seamless
payment integration, it empowers businesses with
efficient financial decision-making and streamlined
transaction processes.

Kyriba: Kyriba assists firms in cash forecasting,

liquidity optimization, and risk mitigation,
empowering organizations to make informed
decisions and enhance their cash management
strategies efficiently, ultimately leading to improved
financial stability and performance.
Accounts Receivable Management: This
process focuses on prompt customer
payments to avoid working capital shortages.
Accounts receivable software automates
invoice tracking, streamlines reconciliation,
and boosts cash forecasting. It employs AI-
driven automation, centralized
communication, and collaboration tools for
enhanced efficiency.

Hiver: This platform streamlines finance

operations, especially accounts receivable, by
integrating with Gmail. It centralizes
communication, facilitates collaboration, and
automates tasks like sending invoice
reminders. Pricing ranges from $15 to $59 per
user monthly.
Bill.com: Provides intuitive accounts receivable and
payable management for small businesses. It
streamlines customer communications, simplifies
payment processes, and syncs payments directly with
accounting software. Pricing starts at $69 per user
per month.
Fresh Books: Cloud-based billing and invoicing
software that simplifies bookkeeping tasks for small
businesses and freelancers. It offers customizable
invoice templates, online payment options, automated
payment tracking, and reporting tools for analysis.

Gaviti: Focuses on enhancing the accounts receivable

invoice-to-cash process. It offers invoice management,
payment forecasting, and automated notices for due
payments. Pricing plans include Standard, Pro, and
Expert editions.
Recommendations :-

● Start small and build on firsthand benefits such as increased

efficiency, streamlined processes, improved data analytics
and enhanced customer experiences.

● Team up and create competitive advantage from brand

recognition.

● Engage in standardization efforts.

● Take responsibility for data ownership and ethics.

● Own the change and ensure organisation-wide commitment.

Also we need to select a software that has some features that may help to accelerate the
business.

● Keeping track of outstanding balance.

● Manage business expenses

● Unlimited products and parts add facility

● To work in offline mode

● To generate invoices or bill in Bengali and English language

● Colourful invoice ready template

● Inventory management solutions

● Transaction billing solutions

● Barcode scanner facility

● Dedicated customer supoort team etc.

In our topic our member have exploit about some software which are playing a role to complete
working capital management.

● Trovata is providing 24/7 live reply but kyriba is not.

● Trovata and Kyriba both doesn’t has any cloud base memory service, if they add this
feature then it will attract user’s and can make them permanent customers or user’s.

● Freshbook is supportive for only small business but Bill.com is supportive for small,mid and
large size business.
Conclusion :-

Digital transformation is not just a trend but a vital strategy for businesses to thrive in the digital age.
By leveraging technology to streamline processes, enhance customer experiences, and drive
innovation, organizations can stay competitive and adapt to ever-changing market demands.
Embracing digital transformation empowers companies to unlock new opportunities, increase
efficiency, and foster growth. However, success requires more than just adopting new tools; it
necessitates a cultural shift, agile mindset, and strategic vision. With careful planning,
investment in the right technologies, and a commitment to
continuous improvement,businesses can position themselves
for long-term success in the digital landscape