TMS technology and applications have advanced greatly in recent years, making for quicker, easier, and cheaper deployment, with superior results. Michael Kolman, Chief Product Officer, ION Treasury, explains to TMI just how far the TMS has come since its arrival 40 years ago, and why today there is a solution to fit the needs of most organisations.
The TMS has been the core system of choice for a select group of treasurers since it first arrived on the scene in the early 1980s. Indeed, it’s often seen as a specialist technology for the benefit of only the largest corporates with the deepest pockets and most complex needs. But today, the message for any business thinking the TMS is somehow ‘not for the likes of us’, is that this view really is outdated.
For those with a negative or uncertain approach, it’s important to realise that TMS technology has evolved. It is now a tool for the many, catering to a broad spectrum of needs for an even broader scope of organisations. In essence, it can be shaped to become all things to all treasurers. Its progress is driven by market trends for digitalisation and automation, and the need for visibility of cash, liquidity, exposures, and other core financial data, and these are drivers pertinent to companies of all sizes, many of which might not even have a full-time treasury function, notes Kolman.
“Every company, at a minimum, has bank accounts and needs visibility and control of cash,” he explains. “A democratisation of treasury functionality has occurred, and treasury teams now have choices in their solutions. Today, multiple TMSs exist, each designed for a treasury team’s profile and specific set of needs making it possible to choose the solution that best fits their company’s requirements.”