Until recently, the purchase of goods or services occurred when the exchange of money or value took place. Historically, this exchange has involved some form of physical currency. However, the majority of money has come to be stored electronically in bank computers and exchanged digitally rather than physically. Managing the risk associated with the treasury process is important to every organization.
This process flow focuses on the treasury process, covering the following sub-processes: new bank account setup, bank account review, entity funding, cash management, investments, variable interest entities, stock repurchase, cash receipts and disbursement, and month-end activities.
This document should be used as a general guide to understand and review this business process. Organizations should customize this tool to ensure that it reflects their business operations and continuously monitor the process to ensure that the steps described are accurate.