Cash management


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Cash management

Refers to the efficient management of cash in a business in order to put the cash to work more quickly and to keep the cash in applications that produce income, such as the use of lock boxes for payments.

Cash Management

1. The ability or strategy a company uses to ensure that it collects all cash owed to it. For example, cash management may involve contracting a debt collection service to retrieve what is owed by a customer, or, more simply, it may involve depositing cash into a lock box to ensure that it is not stolen.

2. See: Asset management.
References in periodicals archive ?
With six overseas cash management centers across Asia-pacific, Africa, Europe, North America, Latin America and Singapore, ICBC has developed a three-tiered service system from head office to cash management center to overseas institutions, providing global cash management service in all overseas institutions.
Not all companies can operate like Dell, but most can improve their working capital position by at least 20 percent over time if they pay proper attention to a fairly simple but effective list of cash management do's and don't's.
For our clients, cash management is a strategic service with a very high added value," said Amaro.
For this customer, ICBC designed a global cash management system to connect their accounts between headquarters and overseas branches through SWIFT.
CitiDirect[R], Citibank's online web-based cash management system, gives managers real-time information on their positions in a given country and region, 24 hours a day, seven days a week.
This improves the cash management department's control over the process and greatly simplifies the accounting.
ICBC's global cash management platform and a full spectrum of cash management services cover the administration of accounts across the world, centralized collections and payments, cash pool in home and foreign currencies, investment and financing, and risk management.