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 SWIFTAbout SWIFT

• SWIFT for corporates– Corporate Drivers– Benefits– Connectivity options

• SEPA and the current crisis as additional incentives

About SWIFT

Aco-operativeorganizationserving the

financialindustry

Aprovider of

highly securefinancial

messagingservices

Thefinancial

standardisationbody

SWIFT in the Corporates to Banks Standards

SWIFT for Corporates –MT Implementation Guide :• Complements SWIFT UserHandBooks• Contains additional rules and guidelines

What

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

MT standards for Payments, Statements, Treasury, Trade Finance and Securities flows

• 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 ….

MX / IS0 20022 standards for

Agenda

••• About SWIFTAbout SWIFTAbout SWIFT

•• SWIFT for corporates SWIFT for corporates –– Corporate DriversCorporate Drivers–– BenefitsBenefits–– Connectivity optionsConnectivity options

••• SEPA and the current crisis SEPA and the current crisis SEPA and the current crisis as additional incentivesas additional incentivesas additional incentives

6

SWIFT: a single, standardised gateway

Corporate

e-banking Y

host to host X

e-banking Z

VAN

Internet

Leased line

Accountspayable

Accountsreceivable

Treasury

Other

Multiple bank channels

– High cost– No global visibility on cash– DifficuIt to centralise

Corporate

Accountspayable

Accountsreceivable

Treasury

Other

Standardised gateway

Single, standardised gateway

– Global visibility on cash– Lower cost– Increased control and security– Reduced risk

Sub heading if required

Corporate Treasury drivers

AutomationStandardisationCentralisation

COSTS• FTE• Infrastructure• Better liquidity

Management

RISK• Operational• Security

COMPLIANCE• Regulators (SOX, Basels2)• Internal controls

TECHNOLOGY• Web (IP)• KPI

Corporates on SWIFTWhere do we stand today?

2004 2005 2006 2007 Q4 2008

282

402

55

108

# registered corporate entities Geographical split

EMEA

Americas

69%

20%

Asia Pacific

11%

181

In Italy:In Italy:Telecom Italia

FIATIFAD

FeniceCandy

Custom House PoltiEnelGeoxKMEMapei

MediasetAlmo NatureAutostrade

AlitaliaCosta Crociere

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

Local treasury A

Local treasury C

Local treasury B

Cor

pora

te in

trane

tCentral treasury

Accounts treasury A

Accounts treasury C

A1 A2

C2C1

Accountscentral treasury

21

Account central treasury

1

MT 900/942

MT 910/942

Funding a local account

Moving money to a central account

• Central liquidity management

• No need to consult different websites

• End-of and intra-day statements can be integrated in TMS, to give visibility on global level and each entity

Treasury management

MT 910/942

MT 900/942

MT 101

MT 101

Accounts treasury A

A1 A2Domestic

format

Accounts treasury B

B2B1 B3

MT 101

Accounts treasury C

C2C1

ISO 20022

Payment file

Payment file

Payment file

Cash management

Local treasury A

Local treasury C

Local treasury B

Central payment and direct debit

factory

• Central control of all payments / direct debits

• Integration into ERP

• SWIFT file transfer supports any format

Central treasury

MT 300

MT 300

Counterparty

Sell USD,Against EUR

Accountcentral treasury

MT 210

MT 103

MT 910/942/940

MT 900/942/950

Accountcentral treasury

MT 101

USD correspondent of Counterparty

MT 103

MT 900/942/940

MT 910/942/950

MT 900/942/950

Risk management

SWIFTNet Accord

Match confirmations

Enabling new bank services

Q4 2008 2009/2010

• Trade finance

• Exception and investigation

• Secure mail

• Personal digital identity

• Bank mandates

• ISO 20022 reporting

• Obtain visibility on cash across multiple banks, to improve working capital managementFunds visibility

• Reduce administrative work to document bank communication processes (SOX)Compliance

• Better control on payment initiation• Increase overall security and reliability

Control, Security, Reliability

• Rationalise multiple proprietary connections, all different

• Increase straight-through-processing and staff productivity

Cost savings

Key benefits

Case studies and customer testimonials(5 year business case analysis)

Arcelor Mittal 600% ROI

GE 410% ROI

Novartis 120% ROI

Swiss Re 4 x savings to investment

T-Mobile 180% ROI

DuPont 200% ROI

Iberia 280% ROI

Petronas 410% ROI

EADS

BELCORP

Microsoft 326% ROI

Yves Rocher

As As fromfrom 22,000 22,000 €€ one time + 9800 one time + 9800 €€ / / yearyear

Different connectivity options for all needs

Alliance LiteSimplified, Internet based, secure connectivity, more business oriented

Apps

SWIFTNetUsers

Internet

Private infrastructureSWIFTNet connectivity infrastructure owned and operated by the customer

Apps

Users

VPN

Indirect connectivitySWIFTNet connectivity infrastructure owned and operated by third party

Apps

SWIFTNet

Users Shared infra

provider

VPN

SWIFTNet

Alliance Lite: Alliance Lite: fromfrom 200 to 850 200 to 850 €€ per per monthmonth all inclusiveall inclusive

As As fromfrom 1,275 1,275 €€ one time + 2,400 one time + 2,400 €€ / / yearyear + service bureau + service bureau feesfees

Agenda

••• About SWIFTAbout SWIFTAbout SWIFT

••• SWIFT for corporatesSWIFT for corporatesSWIFT for corporates––– Corporate DriversCorporate DriversCorporate Drivers––– BenefitsBenefitsBenefits––– Connectivity optionsConnectivity optionsConnectivity options

•• SEPA and the current crisis SEPA and the current crisis as additional incentivesas additional incentives

18

SEPA and the financial crisis as additional incentives

• Multi-bank • Real Time Cash Reporting• Efficient instruments to move

liquidity safely

Treasurers want Risk diversification

SWIFT can provide key building blocks

Single channel to all banks ISO 20022 standards and rulebook

BICPlusIBAN directory as reference data SWIFTReady applications

• Simplification of payment instruments

• Better liquidity management • Optimisation of processes

SEPA accelerates Treasury centralisation

The role of SWIFT in the interactions between Corporates and Banks

�The current difficult economical context, �SEPA, �On-going Corporate centralisation projectsforce Corporates to:�� innovateinnovate and �� reducereduce costscosts

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 communityhttp://www.swiftcommunity.net/corporates

~ 900 members

Case Studies

External Bloggers

Contact details

Isabelle OlivierHead of South East Europe

SWIFTCorso G.Matteotti, 1020121 MilanoItaly

+39 02 7742 5000+39 02 7742 5010 +39 02 7742 5090+39 333 209 5262isabelle.olivier@swift.comswift.com

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Barbara SacchiSenior Account DirectorSouth Europe, Middle East & Africa

SWIFTCorso G.Matteotti, 1020121 MilanoItaly

+39 02 7742 5000+39 02 7742 5015+39 02 7742 5090+39 335 144 74 41barbara.sacchi@swift.comswift.com

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