Case Study: Implementing a Treasury Management System (TMS) at Huisman

Objective: Implement a Treasury Management System (TMS) to enhance cash management, improve financial risk management, and streamline treasury operations.

Background

Huisman Equipment B.V., a global leader in heavy construction equipment for the offshore industry, was facing increasing complexity in managing its treasury operations. With projects spanning multiple continents, various currencies, and significant capital requirements, Huisman needed a more efficient way to manage its cash flows, financial risks, and investment strategies. The existing manual processes were not only time-consuming but also prone to errors, which posed risks to the company’s financial stability.

Recognizing the need for a more robust and scalable solution, Huisman decided to implement a Treasury Management System (TMS) that could handle the complexities of its global operations.

The Challenge

Huisman faced several challenges in its treasury operations:

1. Complex Cash Management: The company’s global operations required efficient management of multiple bank accounts, currencies, and cash positions across various jurisdictions.

2. Financial Risk Management: Huisman was exposed to significant risks related to foreign exchange, interest rates, and commodity prices. The manual processes in place were insufficient for managing these risks effectively.

3. Inefficient Processes: The treasury team was bogged down by manual data entry, reconciliation, and reporting tasks, which limited their ability to focus on strategic activities.

4. Lack of Real-time Visibility: The absence of a centralized system made it difficult for Huisman to have real-time visibility into its cash positions, leading to suboptimal decision-making.

The Solution

Huisman partnered with a leading TMS provider and WIELTEC treasury services to manage the implementation. WIELTEC's role was to ensure that the TMS was customized to meet Huisman’s specific needs and that the implementation was smooth and on time.

Results

The implementation of the TMS at Huisman delivered significant benefits:

1. Enhanced Cash Management:The TMS provided Huisman with real-time visibility into its global cash positions, enabling more effective cash pooling and management of working capital. This led to a 25% improvement in cash utilization.

2. Improved Risk Management: With the TMS’s advanced risk management tools, Huisman was able to automate its hedging strategies, reducing its exposure to foreign exchange and interest rate risks.

3. Increased Efficiency: The automation of manual processes resulted in a reduction in the time spent on routine treasury tasks, freeing up the team to focus on value-added activities such as financial analysis and strategic planning.

4. Better Decision-Making: The real-time data and analytics provided by the TMS empowered Huisman’s treasury team to make more informed decisions, contributing to improved financial performance and reduced risk.

5. Scalability: The TMS provided a scalable solution that could grow with Huisman as the company expanded its global footprint, ensuring that the treasury operations could continue to support business growth.

Conclusion

The successful implementation of a Treasury Management System at Huisman, with the expert guidance of WIELTEC treasury services, transformed the company’s treasury operations. By providing real-time visibility, automating manual processes, and enhancing risk management, the TMS empowered Huisman to manage its global operations more efficiently and effectively. This case study highlights the importance of leveraging technology to drive operational excellence and demonstrates Wieltec’s capability in delivering tailored solutions that meet the unique needs of their clients.

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