Driving change in treasury forecasting
With 40 factories and 156,000 employees around the world, Renault’s cash flow and treasury needs are significant and incredibly complex. Renault also needs to significantly up their investment in new technology and transition to electric vehicles if they want to keep up with the market.
A bumpy ride
Faced with all these challenges, Renault needed a top-notch, high-performing treasury now more than ever. The problem was, its treasury team of four in charge of managing cash for Europe and Renault’s automobile division was still using tools and systems that were built in 2000.
“The tools we were using were out of date and ill-adapted to handle the incredible number of transactions our team had to manage every day. The Renault Group had grown significantly in size in the 20 years since we adopted our original tools, and we now needed a more modern solution to handle the complexity and transaction volume that today’s treasury needed to navigate,” said Cyril Schäfer, Head of Euro Cash Management.
Incomplete data imports, outdated tools, and an over-dependence on IT meant the EuroCash team needed to modernize their modus operandi. Continuing to manage a daily cash flow of up to one billion dollars per day on Excel spreadsheets was incredibly risky—the tools could become obsolete at any time, and only Sylvie Faure, their forecasting expert, knew the ins and outs of how everything really worked. Leaving the fate of European treasury operations in the hands of one person was a precarious situation to be in. If anything went wrong, nobody else would be able to step in and solve the problem.
Sylvie Faure, Forecasting Expert, Renault
Looking to new horizons
1/ Datalog was able to read bank statements and convert them directly into detailed, readable treasury figures, sorting them into predefined categories so that the information could be used to produce treasury forecasts.
2/ Datalog’s system was designed so that users could create and modify rules by themselves easily, instead of having to wait on the IT department or the software provider to do it for them.
These two reasons were compelling enough and Renault decided to begin with Datalog’s Cash Management and Cash Forecasting modules.
Seeing the bigger picture
While Renault could import data from bank statements into their system before Datalog, they could only read the numbers and process them mathematically. Now, they can also analyze the data as they import it, assigning budget categories to each line automatically so they can begin working with it right away. The time and energy saved from not having to do this extra step manually has been a game-changer for the European treasury team.
Renault has gained much better control and visibility over their cash forecasts and the day-to-day goings-on in all the bank accounts and currencies they manage—a huge plus for keeping fluctuations in cash flow under control.
Members of the same team can work on a common platform, share responsibilities and take over from each other when needed.
Finally, the treasury team is less dependent on IT services, allowing them to move more quickly, and facilitating teamwork on a global scale.
A whole new era