Value can be created for Corporate Treasury functions by offering process automation solutions that work globally, with many currencies, bank accounts and banking partners. The Synechron Treasury-as-a-Service Open Banking Accelerator creates an API-enabled Ecosystem that automates the bank’s Treasury, liquidity and cash management functions across different, now-siloed departments within a business division. This allows the banks to build “Treasury-as-a-Service” (TaaS) platforms for clients, thereby creating a new revenue-generating business model.
Our solution takes the same approach banks are for their own Treasury transformations, including:
Heritage backward compatibility: The API-as-a-channel design has lookback and backward compatibility with the heritage ecosystem allowing for incremental coexistence during Cloud transformation initiatives critical for evolutionary platform design
Modernization: The TaaS solution approaches modernization in a non-linear, pragmatic way, fit-for-purpose for transformation strategies with a cutting-edge technology stack
Channel: The API-as-a-channel platform creates a marketplace for hosting an API catalogue as part of a wider ecosystem to enhance the customer experience with (i) Private APIs; (ii) Restricted access APIs; (iii) Partner APIs; and, (iv) Public APIs
Treasury-as-a-Service: A Cloud-based platform provides multi-tenant, configurable, automated liquidity management that clients can subscribe to in a Treasury-as-a-Service mode that is:
Cloud native, secure, scalable and high availability
Microservices-based loosely coupled services
Extensible for future onboarding of other Treasury operations
Open API: An extension of the existing PSD2 compliance infrastructure, allowing clients to orchestrate their multiple banking partners in one solution with an Open API model that creates Global Channel-Independent Process APIs and consistent customer experience across channels; reduces the impact on legacy back-end systems; and facilitates Developer Hub, Internal reuse, Security, resiliency and capacity.
The Accelerator offers two scenarios: a bank can act as each client’s Treasury hub, managing, among other tasks, the liquidity requirements for base and non-base currency accounts, and defining funding/sweeping rules for frequency while automating sweeps into and out of specific account choices.
Users can transfer money to and from a counterparty account by making a:
Payment to a Counterparty Fund
Transfer money to a counterparty account
Transfer money from a payables account to a counterparty’s account
Transfer money from a specific payables account to a counterparty’s receivable account.
or Payment from a Counterparty
Transfer money to a receivables account
Transfer money from a counterparty account as part of a treasury payments service
Receive payment from a counterparty’s account
Transfer money from a specific counterparty account to a treasury receivable account
The Accelerator brings together multiple APIs into a microservices layer running in the Cloud and then pushes them through an API-Gateway, allowing each API plug-in to serve an independent function free from any existing monolithic systems. APIs can be independently changed out—they are fungible—without the need for major structural changes to the wider platform architecture.
/ /The Synechron Treasury-as-a-Service Open Banking Accelerator Benefits can include:
Automating cash management, liquidity data aggregation and reporting capabilities
Enabling a new data monetization strategy through a Treasury-as-a-Service business model with Intraday sweeping for corporate customers
Improving measurement and monitoring of cash management across intraday liquidity analysis and reporting
Unlocking distributed access to cash and securities to meet settlement and payment obligations
Improved payment and settlement operations
24/7/365 operability and security to support business across all currencies and time zones by employing Cloud and DevOps
Unlocking potential new service-driven revenue streams from clients