A significant dichotomy exists between how corporations say they...

A significant dichotomy exists between how corporations say they select cash management banks and how they actually do so, according to a recent Greenwich Associates study on cash management. About 60% of corporate cash management specialists claim they emphasize quality over price in selecting cash management banks. But, according to the study, among reasons corporations cited for terminating banks, price outweighed every other reason by a 2-1 ratio. Price also is mentioned by the cash management executives as the key factor in selecting banks for cash management business twice as often as a bank's willingness to customize services or accuracy of service.