This document summarizes a presentation given by Chris van Dijl of Cugavadi on technology challenges in corporate treasury. The presentation covered legacy treasury solutions that were expensive and complex, leading many smaller organizations to rely on Excel. However, newer cloud-based solutions are more affordable and intuitive. Technology providers are also responding by offering features like payment portals, report building tools, and social media hubs. While progress is being made, trade finance solutions still need further development from many providers.

1. Consultant Perspective:
Conquering the
Technology Challenge
ACT Breakfast Briefing – The Technology Challenge
Dubai | 9 June 2015
Chris van Dijl
Managing Director

2. 2
Agenda
1. Cugavadi Overview
2. Legacy Treasury Solutions
3. Latest Developments
4. How Providers Are Responding to Corporates’ Needs
5. Providing More Intuitive & Cost Effective Systems
6. Outstanding Items
7. Closing Remarks
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

3. 3
Cugavadi Overview
Over 16 years of experience in Corporate Treasury
Worked in The Netherlands, United Kingdom, United States, and the
United Arab Emirates
Former Group Treasurer of Easa Saleh Al Gurg Group and the Al
Tayer Group, both located in Dubai, U.A.E.
Established first In-House Bank for a family group in the Middle East
at the Al Gurg Group
Al Gurg Treasury department was awarded ‘Best Small/Medium
Treasury Team in the Middle East’ by the Association of Corporate
Treasurers (ACT)
Established Cugavadi, a specialised niche consultancy firm with offices
in Dubai and Charlotte, NC
Focussing on Treasury and Risk Management consultancy services
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

4. Highly sophisticated systems
Installed on client’s site
Cash Management, Central Database of transactions, Risk
Management
Pre-defined reports
Reports created by IT Department or Software Vendor (at a fee!)
At a fairly substantial price
Licenses per named users
Implementation consultancy fee
Annual Maintenance Fee (20% of License)
4
Legacy Treasury Solutions
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

5. 5
Legacy Treasury Solutions
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015
Total purchase and implementation cost could be as high as USD
500,000 (AED 1.8m)

6. As a result these solutions were mainly utilised by large listed multi-
nationals
Central or regional treasury hubs
With limited number of users (5 to 10 users)
For smaller organisations these systems were perceived to be:
 Over-priced
 Over-complex, and
 Over-engineered
Hence the continued popularity of Excel
6
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015
Legacy Treasury Solutions

7. Recent studies:
 40% of Asian companies consider cloud computing as the most
important technology platform to consider when they review
their treasury system
 Most organisations with less than $1 billion in revenues are not
using a Treasury System
We are seeing change at a rapid pace
SaaS-based solutions or Cloud based solutions are growing rapidly
New start-ups are focussing on small & medium size companies
Example in the accounting world Xero and Intuit are offering cloud
based accounting packages for as little as $50 per user/per month
7
Latest Developments:
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

8. Greater Client Interaction
• From Annual User Days to interactive Social Media Hubs
• Creation on online customer social media hubs
• Voting on new developments, interaction with other clients
• Improvements will reach the clients faster, and will reach all
clients at the same time.
Payment Portals
• Treasury solution are replacing online banking tools
• With (in)direct built-in SWIFT connectivity
• Sanction screening of payment before they are released to the
bank
• Electronic Bank Account Management (eBAM)
8
Providers Are Responding to Corporates’ Needs
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

9. Providing More Intuitive & Cost Effective Systems
• Using the latest technology to improve reporting functionality
• DIY Report Building
• Drag-and-drop report building
• Giving real power to the Treasury Solution
SaaS / Web-based Solutions
• Cheap Implementation
• Faster (same-day) implementations
• No costly software updates
Unlimited Users
9
Providing More Intuitive & Cost Effective Systems
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

10. 10
Outstanding Items
1. Providers only offering a web-based solution
Many local organisations prefer to keep their data close to their
chest
One-size does not fit all on a global level
2. Lack of Trade Finance solutions
Only basic recording of instruments offered
Many providers promise developments of this front
Wait and see..
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

11. 11
Closing Remarks
Currently at a cross-road in the Treasury Technology Landscape
Systems are becoming more affordable, easier to maintain
However, we are still waiting for further developments, especially Trade
Finance solutions.
ACT Breakfast Briefing – The Technology Challenge | Dubai, 9 June 2015

12. Cugavadi Risk Management Services, LLC
P.O. Box 941021
Dubai | United Arab Emirates
 +971 (0)50 1755 162
Cugavadi, LLC
P.O. Box 78886
Charlotte, NC |U.S.A.
 +1 980 228 9272
12
Thank You
info@cugavadi.com | cugavadi.com
This presentation is the property of Cugavadi Risk Management Services LLC.
It should not be circulated, quoted, or reproduced for any distribution.