Does your company need a Head of Working Capital (and why nobody seems to have one)?

Here’s something odd: working capital management ties up billions in cash across corporate treasuries, yet almost nobody has a dedicated head for it.

At the Working Capital Forum Europe 2025 in Amsterdam, I watched four senior finance professionals admit they’ve never actually worked for a company with this role. Jim Versluis (Head of Finance at Holland Malt), Liudmila Gudina (Global Finance Manager at IFF), and Carol Thurnheer (Senior Manager International Treasury at Haleon) sat on stage and confirmed: usually, the treasurer runs the show. Or rather, tries to.

The panel, moderated by Pieter de Kiewit from Treasurer Search, spent 28 minutes picking apart this oddity. Their conclusion? You might need one. You might not. But either way, you’re doing it wrong if finance acts like a watchdog instead of a cash generator.

The problem nobody talks about

Working capital management spans treasury, finance, procurement, supply chain, sales, and systems. That’s six fiefdoms. Six sets of incentives. Six reasons why your cash is stuck somewhere between a supplier invoice and a customer payment.

One panelist shared a story: A regional colleague wanted to offer customers “2% discount for payment in 10 days.” Sounds helpful. Finance killed it. Why? Because it would have destroyed group profitability while barely moving the needle on cash collection.

This happens daily in decentralized organizations. Local teams make local decisions. Finance finds out later.

When the role actually works

Programs succeed when they connect to what the CEO already cares about. Growth, for example.

Here’s the pitch that works: “We can free up €50 million in liquidity to fund your expansion without taking on debt.”

Here’s the pitch that dies: “We need to optimize our cash conversion cycle metrics.”

One company has run its working capital program for five years (and counting) with the treasurer doubling as Head of Working Capital. The key? Executive sponsorship from day one. A clear mandate. And the authority to make local business owners uncomfortable.

Without that top-level muscle, you’re just the person sending reminder emails about overdue receivables.

Skills that matter (hint: spreadsheets aren’t on the list)

The panelists agreed on what separates success from failure:

People skills • Motivate stakeholders who don’t report to you • Manage change in teams already overloaded • Show empathy for commercial constraints

Communication • Explain financial impacts to non-finance people • Speak the language of operations, not accounting • Tailor your message to local contexts

Negotiation • Balance company needs with supplier relationships • Find win-win solutions instead of dictating terms • Handle conflict when a strategic customer wants 90-day terms

Cross-functional fluency • Move between receivables, payables, inventory, and treasury • Make fast decisions with limited executive time • Understand how systems enable or block improvement

One panelist noted their path: sales, audit, controller, finance director across multiple countries, then international treasury, plus qualifications in accounting and compliance. The through-line? Curiosity and stepping outside comfort zones.

Real examples from the trenches

The supplier dilemma Your procurement team wants to extend payment terms and push a supplier onto supply chain finance. Great for your working capital. Terrible if the supplier raises prices to cover their increased cost of capital. The panel’s approach? Explore alternatives like virtual card programs that benefit both parties.

The commercial partnership Work with sales teams to model financial implications for both your company and the customer. Find middle ground. Don’t impose unilateral terms and wonder why relationships sour.

The discount trap Early payment discounts look attractive until you calculate the implied interest rate. A colleague’s “helpful” discount proposal would have cost the company far more than it gained in faster payment.

Why change fails (and what to do about it)

“If you want to make an enemy, try changing something.”

One panelist cited this quote when discussing resistance. The problem? Teams are overloaded. You can’t demand more without offering support.

What works:

• Co-own negotiations instead of sending mandates
• Model scenarios to show trade-offs
• Educate rather than enforce
• Act as a business partner, not a compliance officer

The certification gap

Treasury has the Association of Corporate Treasurers. Working capital has… forums?

The European Working Capital Forum (now in its third year) shows practitioner interest. But panelists see value in a dedicated association or certification. The role is too niche and cross-functional to fit neatly into existing credentials.

Multiple career paths lead here:

• Treasury
• FP&A
• Procurement
• Supply chain
• Order-to-Cash

No single “right” background exists. What matters is building cross-functional expertise and taking ownership of projects that create opportunities.

Central or decentralized?

The more decentralized your organization, the more explicit your mandate needs to be.

In a centralized business, you can lean on reporting lines. In a decentralized model, you need:

• Clear executive sponsorship
• Explicit authority across P&Ls and regions
• Operational alignment with leaders who negotiate with customers and suppliers

Finance can’t optimize working capital alone. The deals get made by commercial teams. Your ideas need to survive beyond the spreadsheet.

So do you need one?

Ask yourself:

• Is working capital linked to a strategic priority your CEO cares about?
• Can you give this person authority to move business owners?
• Will operations partner with finance, or just tolerate it?

Without “yes” to all three, a dedicated role becomes an expensive reporting function.

With all three? You might free up enough cash to fund growth, weather downturns, or avoid expensive financing.

The panel’s message: The title matters less than the mandate. You can call someone “Head of Working Capital” or let your treasurer own it. What matters is giving them the tools, skills, and executive backing to actually move money.

Because right now, your cash is sitting somewhere. The question is whether anyone has the authority to go get it.

Key takeaways:

• Most companies don’t have a dedicated Head of Working Capital (treasurers usually lead)
• Success requires executive sponsorship, clear mandate, and cross-functional authority
• People skills trump technical skills (you need to influence without authority)
• Programs fail when finance acts as watchdog instead of business partner
• The role needs broad expertise: treasury, trade, cash, and systems
• Career paths vary, but curiosity and cross-functional experience matter most
• Consider a formal role in decentralized organizations with strong executive support

Stay sharp. Stay skeptical.

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Disclaimer Alert

Folks, let’s get a few things straight: this article is my own personal take on the matter, and it’s as personal as your grandma’s secret cookie recipe – unapproved by anyone but yours truly! So, consider this article as my solo journey into the quirky world of tech, where my (sales) creativity dances with analysis. If it makes you chuckle or raises an insightful eyebrow, that’s awesome! If it makes you scratch your head in bewilderment, well, that’s part of the fun too.

But remember, dear readers, this is all in good fun, and it doesn’t constitute official tech doctrine or employer-approved wisdom. It’s just me, my thoughts, and a touch of humor thrown into the tech mix.