Effective management of CCE involves several strategies: - Cash Flow Forecasting: Regularly forecasting cash flow helps to predict future cash needs and avoid shortages. - Investment Strategies: Investing in short-term, low-risk instruments ensures liquidity while earning a return on idle cash. - Cost Control: Keeping operational costs in check can help to maximize the amount of cash available. - Debt Management: Properly managing debt levels ensures that cash is not overly tied up in interest payments.