1. ESOS Cross-border
Produced by: Kaushik Pramanik
2. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 2
ESOS Cross-border: Content
The purpose of this short presentation is to provide:
 Introduction of ESOS Cross-border program.
 Overview of ESOS function.
 Glance of ESOS business landscape.
 Current business challenges faced by ESOS.
 ESOS business challanges to IT actions.
 IT Context diagram.
 ESOS business & IT alignment: A joint effort to help our clients to thrive.
 Open questions.
3. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 3
ESOS Cross-border: Introduction of the program
 Employee Share Ownership Service (ESOS): Engage best people of a company to be part of company‘s
growth and success by providing share options.
 Bank to provide state of the art, lucrative, competitive, tailored, sustainable employee participation
plan to global corporate institutions beyond the national boundary.
 Provide end to end solution; starting from initial advice to plan execution, policy, operational support,
dividend payment, pricing, accounting, TAX efficient advice, reporting, etc.
 Meet the individual need of global employees of global corporate institutions and establish the robust
and sustainable relationship with each employee.
 Bank to be a trusted partner and advisor of the institutional corporate client and it‘s employee in terms
of providing best possible ESO service and TAX efficient future growth of vested options through
financial products and off-shore banking.
4. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 4
ESOS Cross-border: ESOS function
 1. Bank lends money to Bank
ESOS trust with company
 2. Bank trust buys share
from the company or existing
 3. Company makes annual
payment to bank ESOS trust,
which in turn pays the bank.
 4. Bank ESOS trust grants
shares (As per request from
company) to employees with
initial blocking period at a
discounted price. Employee
can receive stock or cash after
 5. Employee can avail premium
banking facility and off-shore
ESOS – At a glance..
5. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 5
ESOS Cross-border: Business landscape...1
High level view..
6. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 6
ESOS Cross-border: Business landscape...2
Detailed view – Many dots..
7. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 7
Summary of Challenges..
ESOS Cross-border: Current Business Challenges..
 ESOS Cross-border has the capability to fetch multi billion dollar business in the bank. Unavailability of global,
state of the art, functionality rich, sustainable & extendable ESOS specific IT solution can hinder the progress.
 Bank does not have the banking license in many countries where employees of participant company are based.
It is a legal obstacle for bank to provide online ESO service to employees of the global participant company as
ESOS client is embedded with online Banking.
 Every country has different taxation system, rules and regulation about ESO. It makes difficult to build
standardized ESO solution.
 The ESO product solution is very much tailored as every participant company has different needs about ESO.
 Ability to attract employees of participant company into Off-shore banking.
 Provide creative & sustainable ESO plan to the corporate and institutional client.
 Pricing and hedging of ESOs are debatable issues, which need to be addressed.
8. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 8
ESOS Cross-border: Business challenges to IT actions...1
Unavailability of global, state of the art,
functionality rich, sustainable &
extendable ESOS specific IT solution.
Business Challenges IT Objectives
Leverage on global components.
Usage of international components forregional ESOS IT Solution.
Integration of ESOS IT components with Direct Net & IBIP.
Market research on ESOS specific software product.
Enhance ESOS components & CORBA services t o handle detailed
ESOS related functionality.
Swiss does not have banking license in many
Disintegrate ESOS solution fromOnline Banking solution, so that
bankcan portray as ESO service provider rather than a banking
Institution in non-licensed countries.
 Use white labeled (Removal of branding& bankingfunctionality)
internal components (WES/EBVV) in disintegrated ESOS solution.
 Special bankdisclaimerrelated to ESO service will be shown in
9. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 9
ESOS Cross-border: Business challenges to IT actions...2
Provide creative and sustainable ESO plan
along with pricing and hedging
Built ESO IT platformto covermost complicated business
functions including hedging and pricing module.
Different taxation system, rules ad
regulation about ESO in different
Enhance ESO IT solution, so that it is flexible enough to
incorporate different rules and regulations easily.
Tailored ESO product solution.
ESOS IT solution should be flexible enough to cope-up with
tailored ESO product.
Ability to attract employees in Off-shore
ESOS IT solution should be integrated with off-shore banking IT
solution as applicable.
10. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 10
ESOS Cross-border: IT Context Diagram
ESOS Swiss IT Solution...
11. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 11
ESOS Cross-border: Business & IT Alignment (..1)
ESOS 3 Pillar Model
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Date: 25.05.2010 Slide 12
ESOS Cross-border: Business & IT Alignment (..2)
Business & IT Strategy
Business & IT Objective
Business & IT
Functionality Rich, Sustainable &
Reliable IT Product Solution
Helping Clients to Thrive
Strategy, Objectives & Collaboration...
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Date: 25.05.2010 Slide 13
ESOS Cross-border: Business & IT Alignment (..3)
IT Product as foundation of business..
14. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 14
ESOS Cross-border: Open questions.
 Who are our major competitors?
 Do we have any benchmark company?
 Where do we stand (Ranking) in the market in terms of ESOS business?
 What are our competitive advantages over our competitors?
 Which region has the highest potential of ESOS business?
 How ESOS business is structured globally and how is it governed?
 Are we developing financial products related to ESOS business?
 How many types of ESO plan currently we have?
 How big is the current ESOS IT team? Are there any documents available on current ESOS IT function?
 What are the legal & compliance issues related to internationalizations of ESOS business?
 What are the alternatives if the participant company does not want to be part of off-shore or on-line banking?
 Many more questions to be asked in the future as the subject will be much clearer.
15. Produced by: Kaushik Pramanik
Date: 25.05.2010 Slide 15
Thank you very much for reading this presentation..
ESOS Cross-border: End of presentation.