Agfa-Gevaert treasury had to find an alternative solution when Citibank Treasury Solutions Group in Dublin, to whom they had outsourced certain middle and back office treasury operations, announced that they were closing down their business in the summer of 2009. Agfa-Gevaert took this change as an opportunity to review and optimise treasury operations. They determined to re-centralise the outsourced operations, and at the same time to select and implement a new treasury management system, and to review their cash pooling and payment management arrangements. The Agfa-Gevaert project team selected IT2 to provide an integrated TMS solution, which would then support their new cash management and cash pooling structures.
âIt was essential to implement IT2 under a tight timetable to eliminate the operational risk caused by the unexpected change of circumstances,â explains Tom Van der Auwera, Agfa-Gevaertâs Group Treasurer. âThe project achieved all first phase objectives by an intensive 6-week effort by the Agfa-Gevaert/IT2 implementation team. We now have a robust, best practice solution in operation for integrated cash and treasury management.â
The IT2 solution handles banking business volumes relating to several hundred bank accounts at around 60 different banks, providing automated reconciliation of account balances, giving the Agfa-Gevaert treasury team more time to focus on professional cash and financial risk management operations.
The second phase of the project will extend cash forecasting and bank and treasury reporting to Agfa-Gevaertâs global subsidiary network, using the integral IT2 NET module. Agfa-Gevaertâs treasury department is now evaluating a further extension of the IT2 implementation, which would support additional in-house banking services. The sum of these projects will centralise Agfa-Gevaertâs global treasury operations onto an integrated, transparent IT2 platform that will reduce operational risk even further. The completed solution will provide the very high levels of treasury efficiency and effectiveness that can only be achieved through enterprise-wide real time visibility of cash and financial risk.