ABA Banking Journal 5/08 - (Page 41) perhaps because companies are finally starting to think of the idea of closer to real-time visibility into cashflows as a must-do, not merely a nice-to-do.” Linda Coven, senior vice-president, head of global cash management, $6.3 billion assets Silicon Valley Bank, Santa Clara, Calif., says the subtle aspects of b2b payments make the transition to electronic flows a slow-and-steady thing. She points out that, as with every bank, each customer has unique payment flows, strategic priorities around payments timing, and capital spending limitations. (So while all would like a perfectly outfitted enterprise resource planning system and clean links between payments engines and accounting equipment in a perfect world, not everyone is in the position to do it.) Then there are the payment practices dictated by a given industry. SVB, for instance, deals with vineyards, high-tech firms, and other clients in industries that require international transactions. “Our client base does a tremendous amount of wire transfers,” says Coven, as an example. While the Federal Reserve and others are looking into greater standardization for cross-border use of ACH, Coven notes that there are some problems with the scheme. However, her larger point is, there are always complicated business cases to make and not everyone needs the same system or set up. SWIFT goes direct In one of the higher profile developments in corporate payments, for instance, SWIFT has garnered significant interest in a new program, SCORE (Standardized Corporates Environment) that gives corporate customers access to the unified messaging hub, SWIFTNet, without the need for bank sponsorship, a traditional practice. (MA-CUG or Member Administered Closed User Groups, used to be the only linkage option, and it is primarily for cash management.) In taking a hub that simplifies payment data exchange between banks and corporate customers, in effect, taking one standard avenue and adding lanes while also making the onramp both easier to negotiate, SWIFT hopes to drive up automation and cut out traditional check writing. SWIFT recently conducted its second annual Swift For Corporates Day, notes conference organizer, Treasury Strategies, Chicago. Managing Director Monie Lindsey says it was well attended. NACHA is also renewing its b2b efforts. According to Von Hollen, who sits on NACHA’s Council for Electronic Billing and Payment, the group has been stepping up its efforts to cultivate a plan for “invoice flipping,” taking data sent in an e-bill and repurposing it for use in an a remittance statement. (B2B continued on page 42) Subscribe at www.ababj.com ABA BANKING JOURNAL/MAY 2008 41 PHOTOILLUSTRATION BY PETER BAXTER http://www.swift.com http://www.svb.com http://www.treasurystrategies.com http://www.nacha.org http://www.ababj.com
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