See how holdings are managed and risks are mitigated.
A company’s assets can range from real estate holdings to equipment to intellectual properties but when it comes to daily operations, cash is still king. One aspect of treasury management is having sufficient cash on hand to cover payroll, pay vendors, and meet other financial obligations requires deft handling of cash flow.
Treasury management is sometimes called “cash management”, but it’s more complex than just the receipt and expenditures of a company’s money. In ERP 513/FIN 587, you’ll see how policies and procedures to address financial risk also fall under the umbrella of treasury management.
One of the most effective managerial tools on the market is the SAP Enterprise Resource Planning system. During this course, you’ll complete weekly exercises on this system to gain familiarity with its use and to comprehensively understand the concepts and procedures of short-term financial management.
Following an overview of basic finance concepts, such as cost of capital, value creation, and net present value, you’ll learn about the development of ERP systems and their origins, what needs they initially met, and how they have evolved to continue helping organizations achieve their goals.
Throughout this course, you’ll participate in a SAP-based business case in which you’ll set up a sales and other organizational units and perform a variety of tasks and functions within the SAP environment.
Through an SAP GUI simulation game, you’ll set up a sales organization and focus on sales-focused tasks. You’ll construct simple financial statements and see how ratio analysis is used in working capital management. Financial planning and control benchmarks will also be examined.
- Inventory period
- Accounts receivable period
- Accounts payable period
- Cash cycle
- Operating cycle
You’ll calculate the NPV of an operating cycle, improve it, and increase the value of a firm. You’ll also delve into cash management, learning the procedure for short-term cash investment and becoming familiar with Baumol and Miller-Orr cash management models.
Discuss this and more in ERP 513/FIN 587.
How accounts receivable issues are handled will become apparent to you as you learn to develop a general framework for making credit decisions, evaluate a credit card portfolio at a bank, and estimate the probability of a firm’s bankruptcy.
You’ll see how to raise short-term capital for a company through a number of financial instruments.
- Trade credit
- Bank loans
- Lines of credit
You’ll also gain insight into inventory management as you grow an appreciation for its optimization.
Sample Course Topics
- Mathematical Preliminaries and SAP Introduction
- Financial Principles
- Ratio Analysis
- Financial Planning and Control
- Cash Management
- Accounts Receivable Management
- Short Term Financing
- Inventory Management
What You'll Learn
ERP 513/FIN 587 covers the fundamental concepts in treasury management and the use of SAP. Through this course, you’ll gain important SAP skills:
- Understand the role of optimization in financial management.
- Calculate the cost of capital for a firm.
- Calculate the net present value of a project.
- Apply the concepts of ratio analysis.
- Use cash management tools.
- Understand the accounts receivable management.
- Evaluate a credit card portfolio.
- Use proper methods of short-term financing.
- Understand the basics of inventory management.
Astute financial management in the short-term can help ensure long-term success. For more information about The University of Scranton’s online Master of Business Administration degree, request more information or call us today toll-free at (866) 373-9547.
The content presented on this page is representative information for example purposes and is subject to change as course and student needs change over time.