Bunzl is a FTSE 100 UK company with operations spanning the Americas, Europe and Australasia. The company has partnered with both customers and suppliers in providing outsourcing solutions and service oriented distribution. It supplies a broad range of internationally sourced products that are everyday essentials for its' customers to operate their businesses. Bunzl's revenue in 2008 was £4.2bn with operating profit of £245m. The company has around 13,000 employees worldwide and operates a centralised treasury department which acts as an in-house bank and is comprised of four people. The department carries out transaction hedging on behalf of subsidiaries and generally manages the foreign exchange and banking relationships of the Group. e-Forex talks to John Chamberlain, Treasury Manager in their treasury department.

John, what was your motivation for e-Trading? We trade over 1,500 FX deals per annum, the majority of which are smaller transaction hedging deals.  Our reason for adopting e-trading was therefore predominantly to increase efficiency whilst still benefiting from competitive pricing.  We have now linked 360T TEX® multi-bank platform to our treasury management system IT2, so that all FX deals (as well as automatically created back-to-back internal deals with our subsidiaries) are uploaded into IT2 without the need for any data input.  IT2 is then linked to Misys to confirm the deals.  This Straight-Through-Processing (STP) system has increased efficiency in the dealing process as well as eliminating the potential for data-input errors.The cost savings generated through competitive pricing was a secondary motivation for e-Trading but has proved to be a benefit nonetheless. Furthermore, a full audit trail of each transaction offers us greater transparency in the performance of our bank...continued

Exclusive Content

The full article is only available to current subscribers. Click here to sign in or subscribe by clicking here