![COVID-19 Businessman Mental Distress Concept](https://assets.euromoneydigital.com/dims4/default/6bdd413/2147483647/strip/true/crop/960x542+0+0/resize/800x452!/quality/90/?url=http%3A%2F%2Feuromoney-brightspot.s3.amazonaws.com%2Fdd%2F11%2Feda0ec8042b1a3bec394b9910d5f%2Fistock-1223649065-forecasting-960.jpg)
Having started the digitalization process with an emphasis on risk management, then looking at improving cash visibility, treasurers are setting their sights on mastering liquidity. But many have already realized that forecasting liquidity is time consuming and that forecasts don't always adapt quickly to changing business conditions.
Scattered data and manual forecasts mean that the amount of time each contributor needs to spend is considerable – and there can be many contributors.
“While treasury is responsible for the forecast, each of the business units and departments who contribute also need to be held accountable for the accuracy of their forecasting – and in many cases this accountability doesn’t exist,” explains Michael Kolman, chief product officer at Ion Treasury.
Colin Evans, managing director at Elite Treasury Services, notes the importance of identifying liquidity issues well ahead of time to implement remedial actions.
![Michael-Kolman-ION-Treasury-960.jpg](https://assets.euromoneydigital.com/dims4/default/d7dd8f2/2147483647/strip/true/crop/960x747+0+0/resize/800x623!/quality/90/?url=http%3A%2F%2Feuromoney-brightspot.s3.amazonaws.com%2F4b%2Fae%2F7e21c5544e80b014c5e48fa8fe2f%2Fmichael-kolman-ion-treasury-960.jpg)
“This is challenging as it relies on forecasted information that is not held in a system and requires the support of various departments to provide reliable data, the quality of which can differ around the organization,” he says.