The study of more than 200 treasury professionals from more than 25 countries examined practices around interest rate, credit, counterparty, commodity, liquidity, foreign exchange, and market risk.

Accurately measuring and effectively managing exposure to financial risk is of utmost importance to a corporate treasurer. Failure to do so can lead to consequences from embarrassing headlines to large financial losses. In spite of this, many companies continue to use spreadsheets to perform essential analysis such as short term cash forecasting (65%) and monitoring of counterparty trading limits (45%). Using spreadsheets to perform complex risk management tasks can expose a process to fraud, the potential for non-compliance with basic accounting principles, and in some cases, human errors that have cost companies millions of dollars.

To address the need for improved operational risk management, a treasury management system (TMS) can provide companies with sophisticated risk analysis capabilities, in addition to performing global cash management and compliance tasks.

Paul Bramwell, senior vice president of treasury solutions at SunGard's AvantGard business unit, said, "This study shows that although 87% of firms have a risk framework established within their organizations, many are reliant on manual processes which can leave a firm vulnerable to errors. The use of treasury technology can automate and enhance oversight while helping to improve efficiency and reduce potential for errors."