Treasury Hot TopicSWIFT - Is it the only option? - Tips on how to take a decision.

www.pwc.com

Bart Vanbrabant, Atos WorldlineElie Lasker, SWIFTRichard Delvaux, PwC

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Agenda

• Overall context

• The service bureau perspective

• What’s in SWIFT for me?

• Conclusion

• Q&A’s

February 2011

Overall context

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Bank relationship

February 2011

“with individual banks giving less credit per client, some companies have been pushed in the opposite direction by deciding to deal with more banks to satisfy their full liquidity requirement”

“Recent developments tend to indicate that the concept of ‘too big to fail’ is no longer valid. As such, quality of counterparty risk management and the diversification of that risk will be a key element in the new bank relationship model”

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High on the list

February 2011

“treasurers feel once they have taken on board the lessons learnt during the crisis about funding, they should resume their focus on the core business of risk and cash management”

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“there is a strong belief that investment in the tools and technology needed to support these activities will be critical in enabling treasury to prepare for future crises”

High on the list

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Better banking communication – worth it?

February 2011

“Managing the financial risk is the core treasury responsibility, however optimising your bank communication can lead to cost savings, as well as major improvements in areas such as working capital, cash management and compliance”

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The banking communication challenge

February 2011

PwC

Options

9

Bank A

Bank B

Bank C

Internet

Internet

Internet

Internet

Internet

Bank A

Bank B

Bank C

Bank A

Bank B

Bank C

Internet

Internet

Internet

Which model for me?

PwC

Best practice?

10

Bank A

Bank B

Bank C

Internet

Internet

Internet

Internet

Internet

Bank A

Bank B

Bank C

Bank A

Bank B

Bank C

Internet

Internet

Internet

The service bureau perspective

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The Service Bureau model initially was

February 2011

We aim to deliver services allowing our clients to handle financial flows

irrespective of your current and future- banking relations- communication channels to be used - message standards to be used - software solutions you use- internal client organisation- regulatory compliance

based on a pricing model that allows for fixed and upfront cost budgeting

“The Swift Service Bureau model was created by Swift and stems out of the increasing trend for outsourcing in the financial market”

The model initially was designed for clients to outsource all technical complexity on setup and run of a Swift connection

Still there is much more to it...

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Service Bureau model has become:In the explorer phase:

February 2011

To assist you in demystifying together with Swift or/and other channels, your business consultant and your banks

• The overall feasibility of your plans:Starting from your current business needs: choose the best option of change for today and map this with the best option for tomorrow

• ComplexityBusiness complexity, organizational complexity, functional/technical complexity, etc...

• CostCost of using a channel (ERP integration, infrastructure, licenses, fees, intake of expertise required, etc...)Mapping of cost versus benefits (tangibles and non-tangibles)

• Quality of Service What degree of business & operational quality would you attain

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Service Bureau model has become:In the set up phase:

February 2011

To hide you from all complexity that comes along with a technical project like this

• Planning and guarding the way forwardMaking sure the Service bureau is a facilitator and accelerator

• Coordination with multiple parties Your internal departments, Swift or others, Banks, Software providers, IT providers, etc...

• Execute tasks Setup of communications with your legacy applications, setup of security, configuration of your channel, your business flows over that channel, users, ...

• Quality & Control Testing- minimal test set & advised test set, go-live, intense post-live monitoring

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Service Bureau model has become:In the run phase:

February 2011

Making sure your flows are processed in the highest degree of quality possible

• Availability, quality & control Availability commitment via Service Level AgreementService Bureau teams that a continuously monitoring your processes Pro-active actions and initiatives

• Robustness & performance Performance commitment via Service Level Agreement

Resilience – full disaster recovery

• Changes & Maintenance Management of all technical changes that come alongCommunication of changes and impact

• EvolutionsMaking sure your changing needs can be realised

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Service Bureau model at Atos Worldline isa one stop shop fixed price offering

February 2011

We aim to partner with our clients to take care of all stuff that is a daily and continuous hassle to manage

Enabling you as a business user to be fully focused on your business which is

management of your working capital

What’s in SWIFT for me?

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We would be delighted to hear and answer your questions!

February 2011

Thank you!

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