1. STRATEGIC ROADMAP OF CASH MANAGEMENT
TURKISH TREASURY
Cash Management Department

2. Contents Our Vision & Mission 1 Strategic Pillars & Targets 2
Gaps & Challenges 3 4
Strategic Plan

3. 1
OUR VISION AND MISSION

4. Vision and Mission
Providing cash needs of the public institutions in a rapid and foreseeable manner, under an effective coordination by maximizing stakeholder satisfaction and minimizing bureaucratic obstacles.
Utilization of the appropriate remuneration channels for the Treasury resources in to maximize gains under tolerable risk conditions.
Developing an internationally-competitive expertise capacity, technologic infrastructure, institutional management, knowledge and control systems.

5. STRATEGIC PILLARS & tArgets2
STRATEGIC PILLARS & tArgets

6. Strategic Pillars and Targets02 03 01
Cash Planning and Management
Utilization of Public Sector Financial Resourses
Institutional Capacity
Expertise (HR) Capacity
Institutional Knowledge
Operational Structure
Performance Management
Internal Control System
Remuneration of Treasury Resources
Minimization of the Redundant Cash
Effective Utilization of Other Public Resources
Cash Planning &Management Structure
Operational Quality and Risks
Forecasting Capabilities

7. Pillar I-Cash Planning and Management1
Developing a cash planning and management infrastructure fully compatible with central government budget structure 2
Improving operational quality and speed and minimizing the risks of the cash planning and management processes
Content Layouts 3 3
Improving revenue and expenditure forecasting capabilities

8. Pillar II-Utilization of Public Sector Financial Resources1
Remunerating Treasury’s reserves in order to gain maximum return under tolerable risk constraints 2
Minimizing redundant public cash
Content Layouts 3 3
Guiding public institutions in order to utilize their financial resources in an effective manner

9. Pillar III - Institutional Capacity1
Developing an internationally-competitive expertise (HR) capacity 4
Developing a lean operational structure 2
Institutionalizing knowledge 5
Developing a performance-focused management structure 3
Content Layouts
Developing an ideal division of capacity 6
Improving internal control system

10. 3
GAPS & challenges

11. Pillar I-Cash Planning and Management
Developing a cash planning and management infrastructure fully compatible with central government budget structure
Revenue and expenditure classifications of the budget are not compatible with the cash inflow-outflow series.
A better input-output relationship could be established between budgetary and cash –based data
Improving operational quality and speed and minimizing the risks of the cash planning and management processes
MsExcel plays an important role in the planning and execution process
Manual controls and decisions should be evolved to more automotized controls and decision support systems
Improving revenue and expenditure forecasting capabilities
Cash request system should be modified in order to make it more user-friendly
An effective econometric-modelling capacity should be developed

12. Pillar II-Utilization of Public Sector Financial Resources
Remunerating Treasury’s reserves in order to gain maximum return under tolerable risk constraints
-There is only a single channel for the remuneration of the Treasury’s cash.
- Lacking an offical cash management policy statement which envisages daily reserve targets, remuneration channels , benchmark portfolio, foreign exchange policy etc.
Minimizing redundant public cash
Need to expand the coverage of TSA
Need to establish institutional TSAs
Need to establish a more flexible planning schedule
Guiding public institutions in order to utilize their financial resources in an effective manner
Need to establish a framework for portfolio management model strategy for public funds
Need to increase the variability of the instruments and improve consultancy function for the institutions in order to utilize their resources with higher return

13. Pillar III-Institutional Capacity
Need to develop an expertise model and capacity which extends beyond proficiency in cash management processes yet encompasses knowledge about budget, debt, risk and IT management as well as the businesses of the cash recipient institutions.
A room for improvement regarding institutionalization of knowledge and business continuity management
Utiliziation of diverse IT technologies and inter-linked processes requires a lean and more integrated operational structure
Current key performance indicators are not sufficient to monitor unit’s performance
Internal control system contains areas to be improved.

14. 4
STRATEGIC PLAN

15. Pillar I-Cash Planning and Management
- Developing econometric modelling expertise
- Establishing data participation structure compatible with budget revenue and expenditure classification
Developing a cash management IT system containing cash management database, automated controls, decision support systems and flexible planning infrastructure and ability to manage integrated business processes.

16. Pillar II-Utilization of Public Sector Financial Resources
Expanding the coverage of TSA at least to comprise whole CG.
Establishing institutional TSAs at least for CG institutions
Establishing alternative channels for remunerating Treasury’s cash
Overnight remuneration structrure for reserves at CB
Establishing Treasury Cash Management Policy Statement
Developing a portfolio management model and framework for public funds

17. Pillar III-Institutional Capacity
Developing a subject-based expertise model
Delegating decisional authority to lower managerial levels with a formal and clear delegation mechanism
- Reorganizing process guidelines for basic cash mangement processes
-Establishing a performance-based management mechanism
Reorganizing CRS in a more user-friendly manner and with an on-line communication platform

18. TURKISH TREASURY Cash Management Department
Thank You!
TURKISH TREASURY
Cash Management Department