In many respects, treasurers in large organizations are expanding their roles more quickly than those in smaller companies. Sixty-two percent of respondents in companies of every size indicated that cash management and forecasting is a key area of focus for their treasury function in the next two years. But those in larger companies are more likely to also give priority to financing and capital allocation (51 percent of respondents in large companies, vs. 39 percent in smaller companies); mergers and acquisitions/investment banking (18 percent, vs. 11 percent for smaller companies); and credit syndicate renewal (14 percent, vs. 8 percent for smaller companies).

The result of all these trends: Treasurers are considered to be C-level executives in many organizations. Thirty-seven percent of all respondents said their company's treasurer is a member of the executive committee or the C-suite. That number is higher for organizations with less than $1 billion in annual revenue (43 percent) than for organizations with more than $1 billion in revenue (32 percent). But even treasurers who aren't in the C-suite have the attention of those who are.

When asked to rate the treasury team's access and visibility to the executive committee/C-suite, on a scale of one to five where one is “poor” and five is “excellent,” nearly three-quarters of respondents selected either four or five. And in 55 percent of companies, and 58 percent of public companies, the treasury function formally measures—and communicates to executive management and the board about—its contribution to company performance.

The AFP survey also explored the question of why treasurers are becoming more strategic. The majority of respondents pointed to the increasing importance of cash management and liquidity to organizations' senior managers, as well as the fact that senior management and the board are constantly seeking greater visibility into liquidity and risk exposures. (See Figure 2, below.)

As the role of the treasury function continues to shift, companies are using a variety of metrics to gauge its performance. Borrowing costs and banking expenses are both popular choices, cited by 58 percent and 51 percent of AFP survey respondents, respectively. For 55 percent, liquidity targets rank in performance judgments, and 49 percent of treasurers (54 percent of those in large companies) are gauged on the effectiveness of their risk management programs. But within large companies, the most popular of all treasury-performance metrics is capital structure support, selected by 62 percent of respondents from companies over $1 billion in revenue but only 29 percent of those in smaller organizations.