Corporate Banking Hub

Transcription

1 Corporate Banking Hub New York Cash Exchange 2015

2 Paul Pidoprygora Software Development and Integrations BELLIN Contact Information Phone: ext

3 Agenda Corporate Banking Solutions Landscape Leveraging a Corporate Banking Hub Solution to Achieve True Straight-Through-Processing Attributes of a Successful Corporate Banking Hub Key Benefits of Implementing a Banking Hub Q & A 3

4 Historic & Current Trends Bank Integration Reporting Previous day and current day account reports Payments Treasury Payments Accounts Payable 4

5 The Blinds of Decentralization Each subsidiary operates individually and has own bank connectivity through different channels. No central ERP or TMS to aggregate all the information. Information sharing is either non-existent or relies on archaic methodologies. Online banking Online banking EBICS EBICS EBICS MBS FTX FTX 5

6 Centralized ERP solution is a step forward, but does it solve the problem? Subsidiaries still struggling to cope with platforms that do not serve the needs of the group. Information aggregation takes too long EBICS EBICS EBICS MBS Online banking Online banking FTX 6

7 Payment Initiation Challenges Multiple message formats for payments initiation. Multiple ways of exchanging messages with the bank. Formats Channels Banks Countries SWIFT MT101 Host-to- Host A ISO XML Bank-specific SWIFT FIN B Local payment formats SWIFT FileAct C 7

8 Other Considerations Number of users Management of authorizations 8

9 Achieving True Straight-Through-Processing User Front-End TMS API for ERPs BANKING HUB H2H... 9

10 Achieving True Straight-Through-Processing User Front- End TMS API for ERPs BANKING HUB H2H... 10

11 Attributes of a Successful Banking Hub Implements 4D payments concept: Domestic Cross-border Multi-bank Multi-country Replaces local banking systems Bank-agnostic Payment system agnostic Corporate entity agnostic Utilizes multiple channels: H2H, SWIFT, EBICS, etc. Enables payments on behalf of (POBO) and reporting on behalf of (ROBO) 11

12 Key Benefits of Corporate Banking Hub Visibility Operational benefits Economic benefits Risk management 12

13 Visibility Benefits Centralized visibility without centralized work truly load-balanced system More accurate group-wide forecasting leads to better funding decisions 13

14 Operational Benefits Centralized payment functionality while allowing local management of payment execution processes Central control over user rights and full control over the entire payments and cash reporting cycle Manages multiple ERP, payment, and bank reporting formats and presents the information in a normalized and consolidated format Less time entering data means more time making good decisions 14

15 Risk Management Benefits Can help fight fraud by analyzing data from other systems before processing Makes data completion (enrichment) easier and provides assurance that only approved data sources are used 15

16 Economic Benefits Banks added to the hub become available for all entities in the group Can serve as a volume aggregator, directing payloads to the correct networks through a single integration point Can slash time-to-market for new payment products Can reduce the cost of payments operations by enabling high STP rates and utilising payments on behalf of and reporting on behalf of functionalities Can cut or completely eliminate costs associated with development and maintenance of bank-ready formats for country-specific instruments 16

17 Risks Concentrating the entire banking process within a central hub without having proper business continuity plan in place Risk Mitigation Maintain backup channels with number of authorized users reduced to an absolute minimum that may be required to provide business continuity in case of disaster Negotiate and rely on SLAs offered by your service provider or 17

18 STEP UP TO 18