What type of data does SAP Leonardo analyze to improve cash flow management?

The analysis of correlations in cash flow data is a critical function of SAP Leonardo in improving cash flow management. By examining various cash flow metrics and identifying patterns or correlations among them, organizations can gain insights into their financial stability and operational efficiency. This data-driven approach allows businesses to forecast cash flow more accurately, anticipate liquidity issues, and make informed decisions that enhance cash management strategies.

Understanding correlations—such as how payables might affect cash reserves or how revenue fluctuations impact liquidity—equips financial managers with the knowledge to adjust their practices and improve overall cash flow. This capability is central to leveraging big data analytics and machine learning provided by SAP Leonardo, enabling organizations to create more resilient financial models.

Analyzing vendor payment histories, market trends, or employee expenses individually does provide valuable information; however, it is the correlation analysis that integrates multiple data streams to offer a holistic view of cash flow dynamics. This comprehensive perspective is what truly aids organizations in enhancing cash flow management and creating strategies that are adaptive and proactive to changing financial landscapes.