Global businesses face many issues when sending and receiving international payments. These include currency risk and fluctuations, economic risk exposure, negative cash flow and more. VAM helps these companies solve these issues by rationalizing operating accounts and centralizing cash. Moreover, it streamlines reconciliation and reporting. It also offers increased security and heightened financial control.
iGTB’s Virtual Account Management Solution
Virtual accounts provide treasuries with the reporting granularity and liquidity management they need to support their business strategies. They also offer a powerful alternative to notional pooling. A comprehensive VAM solution combines virtual account structures with solutions for payments, collections, channels and FX to help clients streamline their processes, manage working capital more effectively and save on fees. VAM works by cloning real bank accounts and allocating transactions to them using either reference numbers or virtual account numbers (VAN). This allows treasuries to create account structures that align with their operating and legal entity requirements, simplifying and automating a range of activities including receipts reconciliation and liquidity management.
As a result, Siemens’ treasury team now enjoys self-service and the ability to reconcile payments against invoices without requiring the manual intervention of multiple physical bank accounts. And because the structure is based on VAN, it can be used to manage payments, collections, and FX across all countries where the company operates.
iGTB’s Treasury Management Solution
iGTB is a comprehensive global transaction banking platform that covers accounts & receivables, payments, cash management, liquidity pooling, self-onboarding, and virtual account management. It also offers treasury services such as cash forecasting and tagging. The system uses machine learning to automate processes and sharpen patterns in data. It can also help to identify anomalies and improve workflows. It enables banks to offer unique value to corporate customers through a holistic, multi-product approach to business banking. iGTB offers solutions for the full spectrum of core, central and treasury functions to help clients win business, increase profit and create wealth.
The software features a modular architecture and can connect to any ERP or treasury system. It allows banks to customize treasury management processes and create a better, more efficient experience for their corporate customers. It helps to avoid payment delays and automates treasury decisions. It can also improve profitability and cash flow by enabling the bank to earn higher returns on its investment balances and pass on some of these benefits to clients.
iGTB’s International Payments Solution
The payments solution takes a “business aware” approach to corporate payments, allowing banks to understand the intent or context of each payment. This enables iGTB’s systems to make better decisions on the execution of a payment, ensuring that it is routed to the best location based on factors such as speed, legality and insurance, counterparty trust, revocability and traceability. The solution also enables commercial bank Relationship Managers to have a conversational platform that discovers client insights from the vast amounts of transaction data they manage and the ISO20022 payment messages they receive. This helps them to offer more personalized service and deeper relationships.
iGTB Copilot for Payments is available in a banking-as-a-service (BaaS) mode and can be easily integrated into the existing infrastructure of commercial banks. This allows them to quickly go to market with liquidity, investments, deposits, cash pooling, cash forecasting, payments, virtual accounts and trade and supply chain finance cloud offerings for their corporate clients.
iGTB’s Liquidity Management Solution
The system allows corporate customers to pool their daily liquidity in a consolidated manner. This is done by creating structures, which are a set of instructions that define how funds will move in and out of an account structure. The structures are created by the user, and they can be viewed in a form that shows them how they are executed over time. The forms are designed to be user-friendly, avoiding the use of liquidity jargon. iGTB’s solution also includes treasury management features. This allows customers to make time deposits and manage their liquidity management system online. It also lets them transfer money locally and internationally. Its remittance inquiry feature makes it easy for customers to track their remittance transactions.
Conclusion
Intellect Design Arena Ltd has recently performed performance testing on iGTB’s liquidity management solution and achieved record-breaking benchmarks of over one million complex sweep structures at 7,516 instructions per second. This performance is 10 times higher than the current requirement of iGTB’s largest customers and provides huge headroom for growth.
