Agenda

Overview

Sigurd Dahrendorf

Chair: Sigurd Dahrendorf, former Treasurer, Knorr-Bremse

Sigurd Dahrendorf
Sigurd Dahrendorf Knorr-Bremse former Treasurer

  • 9:00am
    Chair's Introduction
    Sigurd Dahrendorf

    Sigurd Dahrendorf, former Treasurer, Knorr-Bremse

    Sigurd Dahrendorf
    Sigurd Dahrendorf Knorr-Bremse former Treasurer

  • 9:10am
    Opening Address: Identifying an holistic approach to achieve your working capital targets

    Where the cost of cash is increasing, working capital can be a life saver. But switching from external to internal sources of funding requires not only an efficient treasury but also the technology to improve visibility, accelerate the cash flow process and reduce costs. New technologies and payment methods are enabling treasurers to combine solutions that streamline both receivables and payables. This is revolutionising the way you can influence different levers, at different times, to improve liquidity and price of funding, including off balance sheet structures. We hear how this company implemented a programme that has helped to change the organisational culture, free cash and improve balance sheet metrics.

  • 9:40am
    Panel: Goodbye spreadsheets, hello intelligent cash forecasting: data driven AI for greater working capital visibility

    Cash forecasts have traditionally been based on past behaviour and often influenced by the intuition of individuals in charge. However, the advent of AI enables the analysis of large volumes of internal and external data (from sales, purchases and customers’ payment behaviour to macroeconomic indicators, industry trends, FX, credit risk, key suppliers, etc). This means more effective, data driven forecasts that retro-aliment themselves, improving accuracy as data increases. These predictions can help improve decision making and expand the reach of financial solutions. In this session, hear what Artificial Intelligence and data analytics can bring to the table to support the WC agenda.

  • 10:10am
    Fireside Chat: successful SCF programme roll out - the view from two treasuries

    Supply Chain Finance programmes are long term implementations. Before embarking on such initiatives it is important to evaluate the costs and benefits. For big companies the project will compete with others and will require a considerable investment in people, time and cash. In the interest of efficiency, treasury has to have done its homework. When evaluating proprietary vs multibank or fintech solutions, ensuring standard and centralised processes, including documentation and technology can comply with accounting and legal requirements are key. Hear we hear the perspectives of two treasuries that have recently rolled out SCF programmes to discuss the crucial decisions in implementing a successful integration and how they evaluated the partners and technologies available.

  • 10:40am
    Audience Survey

    A live poll of delegate’s experiences and opinions on SCF and working capital programmes.

  • 11:00am
    Refreshment break
  • 11:30am
    Banks vs Fintechs – which SCF programme? Pitch Session

    When choosing a SCF platform provider, there are several issues to consider. Can your partner operate in the countries and currencies where you need them? Can they grow with you? Another question is whether all suppliers can be included in the programme or if size is a restriction. And finally, if you go for a fintech, where does the funding come from? What guarantees do you have that there will be no shortage or change of risk appetite on the part of the funding provider? When banks partner with fintechs, your power to negotiate is diminished. Can you have control over the investors you want to bring on board? How do you manage KYC data when using a non-bank platform? Here providers give their pitches on SCF solutions and Treasurer vote on their preferences.

  • 12:00pm
    Panel: Factoring and reverse factoring: selecting the right technology tools

    The advantages of implementing factoring and reverse factoring are clear and the technology to accelerate cash flow is available. However, transactions involve a large number of participants and systems which means that the execution can be inefficient if goods, data and finance are disconnected. How can you achieve total visibility? What are the main issues to consider when implementing a platform to ensure a smooth technology integration? In this session we learn what to look out for when choosing your technology partner and the internal processes and KPIs to have in place.

  • 12:30pm
    Lunch & networking
  • 2:00pm
    Panel: Dynamic discounting: what is the cost benefit ratio?

    You might be generating a lot of cash but if low interest rates result in low returns, a dynamic discount programme might be a solution while simultaneously financing your suppliers. However, Dynamic Discounting can work against free cash flow targets. How do you balance that? Arbitraging with IR? Going to the overnight market? How easy is it to switch from Dynamic Discounting to Supply Chain Finance? Additionally, depending on the markets, there can be tax and accounting implications to consider. Furthermore, there is a disparity between DD and hedging. If you are operating in a non functional currency and you hedge to counter the FX risk, the cost might outweigh the benefits of DD. Overall, what is the cost benefit ratio of DD? What is the supplier´ uptake and what strategies work best to ensure on boarding?

  • 2:30pm
    Presentation: Accounting matters: Expert update

    Accounting treatment of factoring and SCF programmes has always been controversial. Rating agencies seem to be increasingly inclined to consider them as debt. This means that even if the programmes might appear as off balance sheet and still help with liquidity and funding, they no longer help with debt levels. How do you reposition it with your rating agency? What is the accountants view?

  • 3:00pm
    Presentation: Can virtual cards improve your Working Capital agenda?

    Virtual cards can help increase visibility, security, and efficiency whilst lowering costs. Additionally, paying with a credit card on a company´s preferred date can allow extending terms to suppliers. However, the number of virtual card providers has grown exponentially and these have become quite commoditised. What are differentiating factors? What are the fees? Hear how companies are using them to improve working capital.

  • 3:30pm
    Refreshments & networking
  • 4:00pm
    Roundtable: The final hurdle: the benefits of taking inventory off balance sheet

    Accounting rules can promote building high levels of stock, counter manufacturing companies’ need for efficiency. Reducing inventory frees up cash and helps cut associated costs such as insurance and staff to manage it. What are the options to take inventory off the balance sheet whilst ensuring that the operation is not classified as financial debt? Location of stock, risk transfer, the existence of a secondary market and insurance are some of the issues to consider. Wording in contracts is crucial. Banks are restricted in their ability to take these risks but new players are entering the market. Join this session to find out about the ways to overcome these issues and new solutions available. How do they compare with other funding options? Are they competitive?

  • 4:45pm
    Top Ten Takeaways

    We highlight your top 10 takeaways from the conference sessions.

  • 4:55pm
    Chairman’s Close
    Sigurd Dahrendorf

    Sigurd Dahrendorf, former Treasurer, Knorr-Bremse

    Sigurd Dahrendorf
    Sigurd Dahrendorf Knorr-Bremse former Treasurer

  • 5:00pm
    Networking reception
  • 6:00pm
    Conference concludes