Thesis Abstract

Abstract
Effective cash management is crucial for businesses to maintain liquidity and financial stability. Electronic banking has revolutionized the way companies manage their cash flows by providing real-time access to financial information and efficient transaction processing. This research project explores the benefits of electronic banking in enhancing cash management practices for businesses. The study focuses on how electronic banking tools such as online banking platforms, mobile banking applications, and electronic funds transfer systems can improve cash flow forecasting, streamline payment processes, and optimize fund utilization. By leveraging electronic banking solutions, organizations can monitor their cash positions more effectively, make timely financial decisions, and reduce manual errors associated with traditional cash management methods. Furthermore, the research investigates the security measures and controls implemented by electronic banking systems to safeguard against fraudulent activities and unauthorized access. Understanding the risk factors associated with electronic banking and implementing robust security protocols are essential for businesses to mitigate potential financial losses and protect sensitive financial data. Additionally, the project examines the role of financial institutions in supporting effective cash management through electronic banking services. Banks play a crucial role in providing businesses with innovative cash management solutions, personalized financial advice, and access to liquidity management tools. Collaborating with experienced financial partners can help organizations optimize their cash management strategies and achieve their financial objectives. Overall, this research project aims to provide valuable insights into the advantages of leveraging electronic banking for effective cash management. By adopting electronic banking technologies and working closely with financial institutions, businesses can enhance their cash flow visibility, improve operational efficiency, and optimize working capital management. The findings of this study will contribute to the existing body of knowledge on cash management practices and inform businesses about the best practices for leveraging electronic banking tools to achieve financial success.

Thesis Overview

The rapidly unfolding development within the information technology in recent times has led to resurgent calls for monies towards an effective cash management through Electronic banking (i.e. E-Banking). In the last few years, within the banking industry in Nigeria several commercial products were designed by banks to improve the qualities of services provided to customer. These products were also designed to meet the increasingly sophisticated needs of finance managers in a cross section or organizations operating in different sectors of the economy.

In recent years, these have been an evolution from paper transfer system and ordinary procedural cash management to an electronic transfer system and more secured and sophisticated cash management. There has been introduced, an increased sophistication in computer applications to cash management and in electronic funds transfer.

It is the responsibility of the finance manager to ensure proper management of a company’s account receivable and payable amongst other tasks. Improper management of these two important variables could result in losses arising from inability to take interest because of too early payments. Overdraft and loan interest charges could be incurred because of unnecessary working capital borrowings. The task faced with the finance manager is accelerating collections and showing a disbursement which is increasingly being done electronically.