Strategic Customised General C&TM Systems and Services
The large strategic custom built corporate treasury management systems provide a comprehensive cross-asset treasury solution in one front-to-back integrated system. Only the top 300 global corporates, such as General Electric, British Petroleum and Toyota use these systems. They are fully scalable and typically provide a single integrated, full enterprise treasury solution for the whole company or group. These systems offer straight through processing and real-time operation and provide the highest level of functionality and sophistication.
C&TM Systems Functionality and Scale/Sophistication Coverage
Copyright© 2011 J&W Associates
Strategic custom built corporate treasury management systems and cover all world-wide currencies, complex internal group and counterparty structures; all debt and investment instruments; all FX instruments; almost all other instruments including commodities, energy and trade instruments, and equities. They provide full trading, deal capture, confirmation and tracking; payments, collections and netting; cash management position keeping and liquidity management functionality plus full hedge accounting for a derivatives and risk management of cross-asset classes.
An alternative for the large global corporates is to use bank treasury management systems.
Developments
Over the last 2-3 years suppliers of large custom built corporate treasury management systems' have continued to expand the scalability, depth and range of their systems. The first full SaaS custom built corporate treasury management system solution was launched.
The other significant development over the last few years has been the consolidation of the large system suppliers with Wall Street Systems takeover of Trema in 2006 leaving only two main suppliers, SunGard and Wall Street Systems who have offices and support staff world-wide. Although this is changing as several bank systems suppliers begin to expand into the corporate treasury management systems market.
Users
The users of the strategic customised cash and treasury management systems are typically very large companies or groups with an annual turnover of well over US$1bn and with operations covering many countries and jurisdictions.
Charges
The charges for strategic customised cash and treasury management systems range from US$1m to many US$ millions for licenses plus typically many US$100K for implementation and 15-20% of original license fee/year. The charging for large SaaS/web-based ASP cash and treasury management services is on the basis of range of functionality purchased and user numbers. The implementation costs for the SaaS/ASP based solutions are normally much lower than for a license based solution.