Swift, which launched its global payments innovation (gpi) initiative in February 2017 and has seen it steadily gain traction has published ‘How to build a business case for Swift gpi’, which details the benefits for various users.
The publication by the financial messaging service follows a presentation at Sibos 2018 last October, which covered issues such as the strategic business drivers for adopting gpi; the internal stakeholders needed to support adoption; the infrastructure impacts that need to be planned for; and what operational and financial aspects need to be considered.
Three key drivers
Swift identifies three key business drivers for adopting gpi, applicable to both corporates and banks:
- Reducing costs in the back office;
- Enhancing relationships with the organisation’s ecosystem;
- Offering a better service to customers, while positioning the organisation as a payments leader
Back office costs are reduced largely through the end-to-end tracking functionality of gpi. This provides full visibility on payments in real-time, regardless of where they are in the chain and reduces the time and effort routinely expended by banks in investigating and querying missing payments.
On enhancing relationships, the guide notes: “Swift gpi is a community solution and only through universal adoption can the full value be realised. Over 3,500 banks have pledged to adopt gpi, with 450+ now live and sending gpi payment flows.
“By adopting gpi and providing confirmation of credit with the banks in your ecosystem, you can help foster better business relationships with your existing partners, as well as opening new opportunities.”
Swift states that gpi can boost customer service by enabling users to guarantee fast, trackable and transparent payments, thereby protecting the existing business while creating further development opportunities.
“Using gpi data, banks have the ability to enrich their existing services by integrating payments tracking, whilst continuing to improve cumbersome processes, resulting in increased customer satisfaction,” the guide notes
“gpi data tools also allow you to weigh up where you and your customers do most of your business, and also where your competitors do business, giving you visibility on potential new markets to expand into or prioritise.”
Swift also dismisses the claim that gpi is only suitable for large, global transaction banks. “The reality is that financial institutions of all shapes and sizes are adopting and sending gpi payments every single day”.
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