The 11th edition of The Business of Treasury survey, reflecting the views of nearly 200 treasurers, provides a snapshot of the profession and how it is now firmly embedded in the strategy of the wider enterprise. At the same time, technological change is driving the wider use of automation and AI, a trend that will allow treasurers greater opportunities to add greater value through the treasury function.
“In times of crisis and uncertainty, the critical role of treasury in delivering positive business performance is valued even more highly, and we are seeing this in the continued engagement by boards in core treasury areas, and in the view of treasurers as strategic business partners,” says Annette Spencer, ACT chief executive.
The ACT’s Business of Treasury survey highlights how treasury operations and controls, together with capital and liquidity management, remained the primary focus for treasurers. More than half of the respondents said they spent most of their time on one or other of these areas.
Corporate finance and risk management were the next big consumers of treasury time, while work on business strategy has continued to rise in recent years, with 6% of treasurers saying this took up most of their time.
However, while in the short term (next 12 months) treasurers say they will continue to spend their time focused on capital and liquidity management, they anticipate that the picture will be different five years out. At that point, treasurers expect to be spending significantly more time focused on technological advances.
Over the next 12 months, nearly seven out of 10 (69%) expect to be spending more time on technological advances, followed by change management (48%), business strategy (47%) and risk management (46%). Interestingly, although a significant number (43%) expect to spend more time on environmental, social and governance (ESG) issues, this is noticeably down from the 65% in 2022. This is despite the growing interest in sustainability issues, with many financing and funding options being based around ESG metrics.
The survey reveals an uptick in concern over the issue of cybersecurity compared with the 2021 and 2022 surveys, suggesting that treasurers remain vigilant to the increased threat. In 2024, nearly all those asked cited cybersecurity as a concern.
As one UK treasurer says: “[With] all the news about cybersecurity and cyberattacks on large corporations, it’s much more in the forefront of trying to protect ourselves. [For example], it’s changed... the way you would normally log onto your laptop; we’re using biometric readers and authenticators just to help secure ourselves.”
And the ACT adds: “Increasingly, we are having conversations about ‘when’ not ‘if’ an organisation will fall victim to a cyberattack. Treasurers are not only thinking about defence, but also what they will do in the event of a successful attack.”
Philip Smith is the editor of The Treasurer
The full report can be found here.