06 December 2016
Andrew Owens

B2B Payments

Andrew Owens - SunGard AvantGard

21Posts 61,062Views 3Comments

Getting internal buy-in for a Payment Factory project

28 August 2013  |  2338 views  |  0

I recommend that you start by looking at the overall vision of what you are trying to achieve.  You will want to ensure that this vision ties in with at least one of the broader visions of the company.  There are many different reasons why companies implement payment factories (PF), from reducing fraud risk to increasing cash visibility to reducing costs. 

Once the vision is set and it has been aligned to one of the goals of your company, look at the way the PF will be deployed and establish who the principal stakeholders will be.  For example, for companies that have a centralised model with shared service centres (SSCs), the principle stakeholders will include the head of the SSC, the financial controller or CFO and the Group Treasurer.  For more decentralised companies where the different entities enjoy a large amount of autonomy, the stakeholders will likely all be at the group level, including the CFO and the Group Treasurer.  Of note – the Treasurer is typically always a stakeholder because, as the traditional holder of the bank relationships, Treasury will always be involved. 

Once you have those stakeholders identified, they need to be brought on board.  This requires being able to demonstrate the benefits of going ahead with the project.  And the message should be tailored to the different stakeholders.  Increased cash visibility across all accounts may be of great interest to the Treasurer but a financial controller may be more interested in how a PF project can save costs and reduce fraud.   Sometimes there is even too much focus on the cost saving aspects of a payments centralisation project – PFs also facilitate growth.  Implementing a centralised process and infrastructure, using modern technology and corporate to bank standards not only allows for growth in payment volume but makes the onboarding of new banks and new countries a straightforward process.  In essence, meaning one less barrier to expanding your business into new countries / regions. 

In building support internally you also need to provide some detail on project costs, implementation timelines and the expected ROI.  There is a wealth of information in the public domain on payment factories but either engaging with a consultancy firm that specialises in payments or working with key technology partners is probably the best way to get some reliable data that can be fed into the internal business case.  Finally, attend industry events or talk to other companies that have embarked upon or completed a payment factory project.  Find out from them whether the project was a success and delivered the benefits expected.  And then pass that information on internally to get the buy in you need.

Have you implemented a Payment Factory project?  What, if any, difficulties did you encounter


Comments: (0)

Comment on this story (membership required)

Latest posts from Andrew

Did we solve a payments problem that no longer exists?

14 January 2015  |  8869 views  |  2 comments | recomends Recommends 1 TagsBlockchainPaymentsGroupPayments strategies 2015-2020-2030

Could your corporate payments team be saving millions?

17 November 2014  |  2735 views  |  0 comments | recomends Recommends 0 TagsPaymentsTransaction bankingGroupPayments strategies 2015-2020-2030

Does ISO2022 mean the death of the Payment Factory?

14 October 2014  |  2342 views  |  1 comments | recomends Recommends 0 TagsPaymentsInnovationGroupPayments strategies 2015-2020-2030

Reinforcing Your Payments Department Fortifications

28 July 2014  |  1905 views  |  0 comments | recomends Recommends 0 TagsPaymentsGroupPayments strategies 2015-2020-2030

What Bitcoin means for corporate payments

14 April 2014  |  1792 views  |  0 comments | recomends Recommends 0 TagsPayments

Andrew's profile

job title SVP - Enterprise Payments
location London
member since 2013
Summary profile See full profile »

Andrew's expertise

What Andrew reads
Andrew writes about
Andrew's blog archive
2015 (1)2014 (7)2013 (13)

Who's commenting on Andrew's posts