How CPS Group achieved real-time cash visibility and automated accounting by integrating with Microsoft Business Central
"During a time of growth, the only way to survive was to automate and digitise all processes, so that our people can work in safer environments, without errors or excessive workloads. If you apply a dose of AI to this, the result is highly promising and exciting. Our partner Embat accompanies us in this journey, whose Treasury and Accounting solution is perfect for our organisation".
Ángel López
Finance Director
- Lack of real-time visibility of daily cash positions
- Reliance on manual downloads of bank statements
- Use of multiple spreadsheets for cash forecasting
- Manual bank accounting with tens of thousands of entries
- Real-time cash visibility through API connectivity
- Automated accounting and bank reconciliation with AI
- Centralisation of financial data and cash forecasting
- Integration with ERP (Microsoft Business Central) to automate accounting processes
- Increased productivity and reduction of manual tasks
- Fast and accurate decision making
The customer
CPS Group is a family-owned Spanish company and leader in the technology, engineering and innovation (R&D) fields, with a strong presence in the Intelligent Transport, Defense, Security and Telecommunications markets.
CPS Group, a strategic supplier to the transportation, defence, security and telecommunications sectors, was struggling to obtain real-time visibility of its daily cash position during a period of constant growth. The finance team relied on manual downloads of previous day's statements and used multiple spreadsheets to get a snapshot of the cash position, as well as short-term cash forecasts. In addition, the accounting for the banking operation included tens of thousands of accounting entries that were recorded manually.
The CFO of CPS and his team were aware that they had to automate and digitise processes in order to overcome growth challenges, so that everyone could work in a more secure, error-free environment with less workload. CPS partnered with Embat to implement API connectivity with all its banking relationships in Spain, access its banks in real time and automate accounting and bank reconciliation with Embat’s connection to their ERP (Microsoft Business Central).This initiative aimed to revolutionise CPS' treasury and accounting operations by providing improved cash visibility and operational efficiency.
The challenge
CPS set out some very clear objectives to address its treasury challenges:
1. Improve visibility of its banking pool in real time
Enable informed decision making through real-time monitoring of cash positions.
2. Centralise cash forecasting
Provide a centralised solution connected to banks and Microsoft Business Central to give visibility of short-term cash flows in the portfolio.
3. Optimise bank reconciliation processes
Automate the receipt of bank transactions and automation of the cash accounting and bank reconciliation processes, thus improving the efficiency of daily cash management.
4. Improve team productivity and workplace quality
Leverage digitalisation to increase the productivity of the department, directing efforts towards more strategic tasks. At the same time, improve workplace quality, reducing administrative tasks and promoting employee well-being.
The solution
Embat worked hand in hand with CPS’ finance and technology teams to provide API connectivity with all of their banking relationships in Spain. The main focus was to ensure the integrity of treasury information at all times and bi-directional connectivity with Microsoft Business Central.
Key elements of the solution include:
Optimised connectivity between Embat and Microsoft Business Central
Embat and Business Central were configured to be connected in API format and synchronised in real-time.
Data centralisation and decision making optimisation
A unified platform that allows the finance team to monitor current and future cash availability in real time, optimising working capital management and improving decision making.
Automated bank reconciliation with AI
The time taken to perform bank reconciliation has been substantially reduced thanks to the implementation of generative AI model for portfolio settlement.The reconciliation of nearly 90% of bank transactions has now been automated.
User experience
Embat's solution was designed to optimise the user experience and make usability as efficient and simple as possible for the CPS team, without requiring months of training or a prior understanding of the platform.
Customer training
Embat's philosophy is to offer training sessions throughout the implementation process and for the CPS team itself to be trained as the treasury process is defined.
The impact
The partnership between CPS and Embat resulted in significant results for the company:
Real-time cash visibility
CPS can now make financial decisions with up-to-date data on cash positions.
Simplified treasury and accounting operations
Automated incoming bank transactions and connectivity with Business Central have significantly improved operational efficiency.
Customised and flexible solutions
The implemented solution is tailored to the specific needs of CPS, improving operational flexibility without compromising performance.
