Average Maturity Reports
See the average maturity of receivables and payables — plan cash on data.
What problem does it solve?
Average maturity is calculated by hand in spreadsheets; with receivable and payable terms scattered, the cash position is never current. The collection/payment balance is run on guesswork.
How does the solution work?
Conforcus average maturity reports analyze AR/AP open items to compute weighted average maturity automatically. They produce reports that feed cash planning directly and break down by account and period.
What changes in practice?
The report reads customer and vendor open items in FI and weights each item by its amount to compute the weighted average maturity for receivables and for payables. Because larger items move the average more, the result reflects the cash effect better than a simple average of days. The output can be broken down by account, account group and period, showing which accounts lengthen or shorten the average behind the total. The calculation runs directly on open-item data, so no separate data preparation is needed.
Since average maturity is calculated the same way on the receivables and the payables side, the balance between collections and payments rests on records rather than estimates. The output feeds Cash Management processes: when preparing the cash plan, treasury uses this report instead of collecting due dates from different sources. The period breakdown shows the direction in which maturity is moving, so decisions on collection and payment terms come up before a problem grows. Because the calculation follows the same rules on every run, results are comparable across periods. For the finance team, the manual spreadsheet calculation disappears.
Benefits
- Average maturity instant and accurate, no manual calc
- Cash planning grounded in real data
- Collection-payment balance managed proactively
Where it sits in SAP
Computes weighted average maturity from FI AR/AP open items; breaks down by account, group and period. Feeds Cash Management (CM) processes.
Who it is for: Treasury Director, CFO, Finance
Frequently asked questions
Which data is average maturity calculated from, and is any additional data entry needed?
The report runs directly on customer and vendor open items in FI, using each item's amount and due date to compute the weighted average maturity. No additional data entry is required. Because the calculation reflects the open-item position at the time the report is run, the result is current.
Which breakdowns are available, and can we see which accounts drive the average?
The report breaks results down by account, account group and period. Alongside the overall average, results at group and account level show which accounts are lengthening or shortening maturity. The period breakdown makes it possible to follow how average maturity develops over time.
How is the report used in cash planning?
The report provides input to Cash Management (CM) processes. Treasury compares the weighted average maturity of receivables and payables to assess the balance between collections and payments, and bases the cash plan on that data. Since average maturity is no longer calculated separately in spreadsheets, planning works from current open-item data.