In 2020, the group’s total revenue hit €8 billion thanks to an exceptional portfolio of local and international household brands, including Tefal, Moulinex, SEB, All-Clad, Lagostina, Calor, Rowenta, Krups, Samurai, Supor, Arno, Panex, and WMF Group.
With this level of revenue, and with business spread out across the globe, Groupe SEB needed a system powerful enough to centralize its treasury operations and standardize how it communicated with its many different banking institutions.
Too many cooks in the kitchen
In addition, the treasury department wanted to become less dependent on banks when it came to performing and approving different operations. They wanted to be able to log and reconcile bank statements with their accounting records automatically, and make approvals within their own system, instead of having to download information manually from a third-party bank website first. They also wanted to be able to make system changes on their own, without having to wait for IT. Meanwhile, the IT department wanted a SaaS solution that would eat up less of their time and resources, so they could focus on more strategic projects.
Flexibility for the win
1/ To safeguard the company’s liquidity—a key concern for any multinational group experiencing significant growth.
2/ To mitigate the substantial foreign exchange, currency, fraud, and cash flow risks that are inherent to their business model. In addition to running a commercial operation, SEB produces its own goods, exposing it to commodity risk and price fluctuations in aluminum, plastic, or nickel. They wanted a solution that would help them manage their financial instruments to minimize this risk as much as possible.
After looking at other options on the market, Groupe SEB chose Datalog for its flexibility, which far outshone the competition. Users could easily create or change bank formats without needing to call tech support. And in case there was an issue they couldn’t handle, Datalog consultants were on hand to keep the project running smoothly, and its hotline was available post-implementation to help find solutions to new problems.
In the end, Groupe SEB decided to invest in two Datalog modules: Payment Factory and Netting. The company’s flexibility, innovative technology, and in-house expertise had won them over.
For the first time at SEB, 100% of the bank statements are now logged and recorded on a daily basis, thanks to Datalog. This gives the treasury department immediate access to the group’s real-time, worldwide cash position so they can find and move cash when needed—a huge boon that allowed them to continue meeting their financial obligations during the COVID-19 crisis.
Having a centralized, accurate overview of all the company’s cash allows SEB to optimize its liquidity in real time, avoid going into overdraft, improve how it tracks and manages its cash, and secure its payments on SWIFTNet.
Finally, Datalog’s in-house banking features allow SEB to consolidate and streamline its internal cash flow, minimize bank transactions and bank fees, settle debts, or lend money internally to save on interest charges and reduce foreign exchange risk.
SEB now automatically logs all its bank statements daily, so it always has an up-to-the-minute, real-time overview of its global cash position & can easily move its cash when and where it’s most needed.