Challenge
A well-known MNC, operating in manufacture, export and supply of fashion products globally approached our expert. Having 5 manufacturing units and more than 100 retail outlets, the company is connected with numeress of buyers and sellers.
The rapid growth in volume and growth rate of the fashion industry needed the organization to make quick and hustle-free transactions with almost zero scope left for any error or disruption. Since the company had to deal with suppliers in different countries, it had to make multicurrency transactions. Due to this, the company was required to make transactions in 5-6 currencies, through different banks.
The company also couldn't reply on a single bank in a given region as there could have been any fault or delay in operations of the bank that could have resulted in heavy loss to the company. Therefore, as a precaution it decided to connect with more banks to reduce the scope of risk.
Solution
In order to minimize the risk of getting shutdown because of a specific bank’s payment system and Protocols, the company decided to get connected with the SWIFT network. It has the most secure electronic communication network through which millions of payment messages are sent per year. Initially, it was limited to financial institutions, but now it’s open for big corporate as well.
After conducting several meetings, interviews and background verification, our Expert was selected. He had a strong background in SWIFT implementation, including planning and cost estimation. Within 45 days, our client’s Corporate office was able to use basic functions of SWIFT and in the next 60 days that company was able to use all its services like letter exchange, currency transfer etc.
Our Expert managed to complete entire process within given time and under decided budget.
Outcome
After getting connected with SWIFT, the company no longer depends upon a particular Bank, and is able to do business transactions with several banks at same time. It helps them to divide the risk. This implementation helped the company to improve its position with financial institutions, increase its flexibility in N(n) number of currencies.
