Download SWIFT for corporates

Il valore strategico delle
infrastrutture nel rapporto
Banca-Impresa nel nuovo
scenario SEPA
Isabelle Olivier,
Head of South East Europe,
SWIFT Italy
SEPA event,
AITI & Assolombarda,
6 Febbraio 2009
Agenda
• About SWIFT
• SWIFT for corporates
– Corporate Drivers
– Benefits
– Connectivity options
• SEPA and the current crisis
as additional incentives
About SWIFT
A
co-operative
organization
serving the
financial
industry
A
provider of
highly secure
financial
messaging
services
The
financial
standardisation
body
SWIFT in the Corporates to Banks Standards
MT standards for Payments, Statements,
Treasury, Trade Finance and Securities flows
What
SWIFT for Corporates –
MT Implementation Guide :
• Complements SWIFT UserHandBooks
• Contains additional rules and guidelines
Objective
Address issues flagged by corporates & banks
in C2B space – through agreed rules and guidelines
Foster standardized usage of
MTs in C2B space
Where
• swift.com – download via SCORE page
• swift.com – User HandBooks on-line
MX / IS0 20022 standards for
• ISO 20022 Payment Initiation
• ISO 20022 B2C Account Reporting
• ISO 20022 Bank Transaction Code list
• ISO 20022 Electronic Bank Account
Management
• ISO 20022 Mandates for Direct Debits
• Exceptions and Investigations
• Investment Funds
• Etc ….
Agenda
• About SWIFT
• SWIFT for corporates
–
–
–
Corporate Drivers
Benefits
Connectivity options
• SEPA and the current crisis
as additional incentives
SWIFT: a single, standardised gateway
Multiple bank channels
Single, standardised gateway
Corporate
Corporate
VAN
Accounts
payable
Accounts
receivable
Treasury
Accounts
payable
host to host X
Accounts
receivable
Leased
line
e-banking Y
Treasury
Internet
Other
Other
Standardised
gateway
e-banking Z
– High cost
– No global visibility on cash
– DifficuIt to centralise
–
–
–
–
Global visibility on cash
Lower cost
Increased control and security
Reduced risk
6
Corporate Treasury drivers
COMPLIANCE
Sub heading if required
• Regulators (SOX, Basels2)
• Internal controls
COSTS
• FTE
• Infrastructure
• Better liquidity
Management
Automation
Standardisation
Centralisation
TECHNOLOGY
• Web (IP)
• KPI
RISK
• Operational
• Security
Corporates on SWIFT
Where do we stand today?
Geographical split
# registered corporate entities
In Italy:
181
108
55
2004
2005
2006
Telecom Italia
FIAT
402
IFAD
Fenice
Candy
Custom
House
282
Polti
Enel
Geox
KME
Mapei
Mediaset
Almo Nature
Autostrade
2007
Q4 2008
Alitalia
Costa Crociere
Asia Pacific
11%
Americas
20%
69%
EMEA
A corporate’s use of SWIFT
• Treasury Management
– Monitor accounts and obtain global visibility on cash by integrating
statements into treasury systems
– Manage liquidity and pool cash company-wide, by sending payment orders
– Do financial risk management, by exchanging FX confirmations and
matching them
– Invest surplus cash
• Cash Management
– Run payment / direct debit factory to pay suppliers, debit customers, pay
salaries, … and receive account statements and advices
– ACH payments, disbursement files, check files
Treasury management
Account
central treasury
1
Accounts
treasury A
A1
A2
MT 910/942
Local treasury A
Central treasury
Corporate intranet
Local treasury B
MT 101
MT 900/942
MT 101
Funding a
local account
• Central liquidity
management
• No need to consult
different websites
Local treasury C
Moving money to a
central account
• End-of and intra-day
statements can be
integrated in TMS, to
give visibility on global
level and each entity
MT 910/942
MT 900/942
Accounts
treasury C
C1
Accounts
central treasury
1
2
C2
Cash management
Payment file
Local treasury A
Central payment
and direct debit
factory
Domestic
format
MT 101
Payment file
Accounts
treasury A
A1
A2
Accounts
treasury B
B1
Local treasury B
ISO 20022
Payment file
• Central control of all
payments / direct debits
• Integration into ERP
• SWIFT file transfer
supports any format
Local treasury C
B2
Accounts
treasury C
C1
C2
B3
Risk management
MT 103
Account
central treasury
USD correspondent of
Counterparty
Sell USD,
Against EUR
MT 900/942/950
MT 101
MT 910/942/950
Central treasury
MT 900/942/940
MT 300
Counterparty
Match confirmations
MT 300
SWIFTNet
Accord
MT 910/942/940
MT 103
MT 210
MT 900/942/950
Account
central treasury
Enabling new bank services
Q4 2008
2009/2010
• Trade finance
• Personal digital identity
• Exception and
investigation
• Bank mandates
• Secure mail
• ISO 20022 reporting
Key benefits
Funds visibility
• Obtain visibility on cash across multiple banks,
to improve working capital management
Cost savings
• Rationalise multiple proprietary connections,
all different
• Increase straight-through-processing and staff
productivity
Control, Security,
Reliability
• Better control on payment initiation
• Increase overall security and reliability
Compliance
• Reduce administrative work to document bank
communication processes (SOX)
Case studies and customer testimonials
(5 year business case analysis)
Arcelor Mittal 600% ROI
DuPont 200% ROI
GE 410% ROI
BELCORP
Iberia 280% ROI
Microsoft
326% ROI
EADS
Novartis 120% ROI
Petronas 410% ROI
T-Mobile 180% ROI
Swiss Re 4 x savings to investment
Yves Rocher
Different connectivity options for all needs
Private
infrastructure
SWIFTNet connectivity
infrastructure owned and
operated by the customer
Users
SWIFTNet
VPN
Apps
As from 22,000 € one time + 9800 € / year
Indirect
connectivity
SWIFTNet connectivity
infrastructure owned and
operated by third party
Users
Shared infra
VPN
SWIFTNet
Apps
provider
As from 1,275 € one time + 2,400 € / year + service bureau fees
Alliance Lite
Simplified, Internet based,
secure connectivity, more
business oriented
Users
Internet
Apps
Alliance Lite: from 200 to 850 € per month all inclusive
SWIFTNet
Agenda
• About SWIFT
• SWIFT for corporates
––
––
––
Corporate
Corporate Drivers
Drivers
Benefits
Benefits
Connectivity
Connectivity options
options
• SEPA and the current crisis
as additional incentives
SEPA and the financial crisis as additional
incentives
Treasurers want Risk
diversification
•
•
•
Multi-bank
Real Time Cash Reporting
Efficient instruments to move
liquidity safely
SEPA accelerates
Treasury centralisation
•
•
•
Simplification of payment
instruments
Better liquidity management
Optimisation of processes
SWIFT can provide key building blocks
Single channel to all banks
ISO 20022 standards
and rulebook
BICPlusIBAN directory as
reference data
SWIFTReady applications
18
The role of SWIFT in the interactions
between Corporates and Banks
The current difficult economical context,
SEPA,
On-going Corporate centralisation projects
force Corporates to:
innovate and
reduce costs
SWIFT connectivity for Corporates
is the innovative solution to
- streamline your internal financial process
- manage efficiently your liquidity & any financial flow
- easily access the banks that offers the best services
- be compliant with regulations
More info: SWIFT for corporates community
http://www.swiftcommunity.net/corporates
~ 900 members
Case Studies
External
Bloggers
Contact details
Isabelle Olivier
Head of South East Europe
SWIFT
Corso G.Matteotti, 10
20121 Milano
Italy
T
D
F
M
E
W
+39 02 7742 5000
+39 02 7742 5010
+39 02 7742 5090
+39 333 209 5262
[email protected]
swift.com
Barbara Sacchi
Senior Account Director
South Europe, Middle East & Africa
SWIFT
Corso G.Matteotti, 10
20121 Milano
Italy
T
D
F
M
E
W
+39 02 7742 5000
+39 02 7742 5015
+39 02 7742 5090
+39 335 144 74 41
[email protected]
swift.com