Coprocess Intercompany Netting software can be implemented in weeks, can seamlessly interface to different systems as your needs change and is a fraction of the overall cost of a TMS.
There are many reasons why selecting a specialist system like Coprocess has greater benefits than using the Netting module of a Treasury Management System (TMS).
These are just some of them:
Expertise
Our entire team at Coprocess is 100% focused on providing the best intercompany netting functionality and workflow in the market.
A TMS Netting module probably doesn’t even have a dedicated resource allocated to it.
Functionality
Coprocess is a dedicated Intercompany (for both bilateral and multilateral) Netting Platform that has over 160 global customers and is 100% focused on intercompany netting, we offer workflow for discussion and dispute handling, can match thousands of invoices each month, provide statements in real time, requires no software to be installed locally and we continue to add functionality every quarter.
For a TMS Netting is just a tick box on an RFP. They typically struggle with any large invoice volumes, handing remote users and will only offer a very basic solution.
Implementation
Coprocess intercompany netting can be implemented as quickly as clients can handle, we have done implementations from start to finish in under 2 weeks.
A TMS will typically take 10-20 days billable consulting days and a project duration of at least 2-3 months if they even get around to doing it, as Netting is often the last item on their project plan.
Security
Coprocess has user administration at the business unit level, allowing the users specific functions and permissions at a granular level.
A TMS is designed for central administration in Treasury, hence deciding who owns data in a distributed environment, where subsidiary users need access, is sometimes problematic. This impacts the ability to comment on others’ transactions, match invoices or allow 4 eyes approval at business unit level.
Pricing
Coprocess is a SaaS based system with a monthly subscription fee, we don’t charge by the number of users and a typical implementation fee is around $5k.
A TMS Vendor frequently charge by the user which can make it prohibitively expensive to roll out to remote users, implementation can often be in the $20-$40k range.
Interfacing
Coprocess offers interfaces to all major ERP ‘s such as Oracle and SAP and most bank payment portals.
Many TMS providers charge their clients each time they provide one of these existing interfaces to their clients or will pass a significant cost to their clients to build them
Availability/partnerships
Coprocess is available from two major international banks and three outsourcing providers. This allows a choice of how to run the netting process, how to do your FX, licensing arrangements and get support from your existing provider and Coprocess too.
A TMS is usually only available directly from the vendor.
In Summary
- A TMS netting module was probably written for one client and then adapted for others.
- The TMS vendor probably doesn’t have enough users to be able to fully modularize the system - reusing the best features and sharing these across the user base is key.
- Coprocess netting functions are tailored to the client by configuration options not development.
- A critical mass of clients; the more clients we have, the better the system becomes
- Sustainability; all Coprocess Netting development is paid for out of revenue.
- The TMS vendor is really interested in the core products, Risk, Cash and Accounting: a netting module for them is a struggle to justify.
Coprocess is committed to netting and its development. - New features and functions are made available to the whole client base, but not compelled to take them.
To counter the discussion points above your TMS provider might argue why not have one system that handles everything but that is also why they offer an inferior netting solution. We have many clients that have been through multiple TMS providers in the last 10-15 years, Coprocess has interfaced to all of them and continues to provide the most functional and capable Netting System available to its customers.
Coprocess vs a TMS Netting Module – why not go for the best!
For more details please visits our FAQ page at https://www.coprocess.com/faq.html
Contact Coprocess to see how we can help you expand the use of multilateral netting
