As a world class elevator and escalator manufacturer KONE Corporation is committed to improving the flow of urban life. In treasury too, the focus is on improving flow, but rather of information and transactions. With operations in more than 60 countries globally, implementing SWIFT has been a crucial way for KONE to harmonise bank communications, while also enabling treasury to standardise processes, improve visibility and control, optimise liquidity and drive future transformation.
Treasury organisation and objectives
KONE’s treasury is located in Finland and is responsible for a comprehensive range of activities including global bank relationships, FX, cash and liquidity management, in-house banking, financial investment, trade finance and funding. Over recent years, KONE has engaged in a range of harmonisation projects, such as rationalising banking relationships. Activities have been transferred to the company’s core banks wherever possible and KONE has implemented cash pooling across major currencies for the group.
A major initiative since 2016 has been to harmonise banking platforms. In the past, treasury used electronic banking systems provided by its banks, both host-to-host and web-based, with separate connections to the ERP platforms. This required considerable technical maintenance and user rights administration.
“Our aim was to streamline and standardise our processes in our treasury and shared service centre (SSC). To do this, we needed to implement common controls and centralised, secure processes. Having implemented a single ERP platform internally, we recognised the opportunity to rationalise our banking platforms and interfaces to streamline connectivity and standardise processes and controls. In addition, we would be able to simplify and upgrade the integration with our ERP to reflect best-in-class security techniques.”