Working in an uncertain and volatile environment inevitably takes its toll on individuals and teams. So, it is perhaps not surprising that mental health and wellbeing should again top the list of internal concerns that treasury professionals say they face in 2024.
Recruitment and resource planning are now a very close second, however – concern in this area has been rising steadily in recent years.
Concerns over diversity and inclusion have risen since 2022, but do not match the figures seen in 2021. This may reflect the various initiatives that many organisations are implementing to address this issue.
It is also interesting to note that concerns over flexible working have dropped significantly, from 78% in 2022 to 68% in 2024. As the ACT says: “Anecdotally, this could be because organisations have adapted to new ways of working largely implemented as a result of lockdowns in 2020/21.”
Overall, treasurers report that their team size has largely remained unchanged, and that they expect this situation to continue for the next 12 months. However, the summary hides considerable variation across organisations, with nearly a third predicting that their team will grow, while only 5% expect their team to shrink.
There is also a split between small and large teams – the survey found that large teams have increased in the past year and expect to increase more than small teams in the next 12 months.
According to the ACT, this may be a reflection of treasurers and their position within an organisation, with those growing their teams having been able to argue successfully for an increase in responsibilities and, therefore, team size. In many cases though, an increase in size will not result in less work per person.
While the size of the team may have an impact on career progression, in this year’s survey a more generic lack of career opportunities is cited as the number one barrier to progression.
In the previous survey, ‘effective working skills’ was named as the biggest barrier, but that has dropped to fourth place, behind ‘leadership and strategic skills’ and ‘understanding wider business opportunities and strategy’.
Split this down by length of time in the treasury function, and it is possible to see how there is a direct correlation between length of service and lack of career opportunities. In fact, those who have served fewer than five years see leadership skills as a bigger barrier.
As the ACT says: “This continues to reflect the need for the treasurer to be a good all-rounder, with strong technical skills, but also able to apply softer skills to be effective. The ACT’s Competency Framework is a reminder that successful treasurers need a mix of technical, behavioural and business skills.”
Treasurers are, however, taking matters into their own hands as they look for additional training to help develop their careers – the top five subjects identified for training are risk management, cash management, ESG, technology, and treasury management. One Asia Pacific treasury leader says: “For the people that work for me, I would look for broader treasury skills such as risk management and leadership coaching to give them more confidence. For me [I am] looking for more strategic management at a corporate level.”
This article is based on the ACT’s The Business of Treasury 2024 survey.