Treasury Digitization - Market Perspectives

11 Treasury Digitization: Market Perspectives Challenges aside, about one-third of survey respondents indicated that one or more projects involving new technologies are being delivered. Figure 8: Fragmentation of Technology Infrastructure Number of Respondents: 450 ERP Systems ERP/TMS Integration with Banking Systems Source: Citi Treasury Diagnostics Survey, January 2014 – June 2019 Single Instance, Global ERP Multiple Systems and Vendors ERP/GL at Business Unit Level Fully Integrated Partially Integrated No Integration 19% 20% 23% 57% 50% 31% Digitization Challenges Exist but There Are Now Tangible Results There are clear benefits to adopting emerging technologies, yet many Treasurers are constrained by their focus on getting the fundamentals in place. Consolidating and integrating the fragmented systems infrastructure often takes precedence for corporates that have multiple ERP systems or for those that lack automated interfaces between their various treasury systems and bank systems (Figure 8) . Corporates with a sufficient treasury maturity and appetite to extend beyond the fundamentals must overcome a number of organizational challenges on their path to achieving a more efficient, smarter and integrated treasury operation. Figure 9 shows that securing investment is a significant hurdle, as new technologies are in competition for investment with enhancements to existing technology. Another key challenge is treasury’s ability to build an effective business case that quantifies the costs and benefits of adoption of emerging technologies. Challenges aside, about one-third of survey respondents indicated that one or more projects involving new technologies are being delivered. With some digital technologies now delivering tangible results, treasury may find it easier to secure the necessary investment: a tipping point may be within reach.