This post continues the series of posts that describes the ability of TS CMO to support multiple centralized and decentralized cash management and positioning needs of enterprise organizations. Today we will look at how TS CMO can be configured for a case of decentralized cash management that is even more complex. (Please read the first post the describes a centralized scenario as well as the second post on a decentralized cash management scenario)
Decentralized Cash Management - Consider an European corporation with operations in Europe, North America and in ASIA, the European organization managing the treasury (cash and investments) for Europe and Asia while the US subsidiary manages cash and investments for North America (US and Canada)
Note that the above scenario is an example of a de-centralized scenario for the enterprise with centralized cash management across subsidiaries in specific regions. This scenario is described in a a bit more detail below that highlights the need, the various file types and connectivity involved as well as the need to support multiple backend GL systems. You can read more about the GL integration capabilities of TS CMO here
To accommodate this need 2 Treasury Operations Entities are configured in TS CMO- "North America" and "Europe & Asia" and respective users or roles and accounts or account groups are assigned. US users are assigned the "North America" Treasury Operation Entity or Tag and European users are assigned the "Europe & Asia"tag. Now users in the respective organizations can perform their day to day forecasting, reconciliation, positioning, reporting and other functions w.r.t the specific set of accounts. As noted previously, not all accounts need to be used position and they can be classified as such.
A third Treasury Operational Entity called Enterprise is created with access to all accounts and is assigned to a specific set of senior management users who need access to data across the enterprise- Note that users using this entity will use it for view only access as the cash management functions are performed within the "North America" or "Europe & Asia" entities created earlier. This configuration is described below.