Nidera B.V. in Rotterdam is an internationally renowned manufacturer, trader and supplier of agricultural and bio-energy products and related services. The company has a well-oiled supply chain that enables it and its 20 subsidiaries to effi ciently connect with manufacturers and buyers of basic products. Nidera buys products mainly in South America and the Baltic States and sells them around the world. Nidera also breeds seeds and trades in fertilizer.
The size and speed at which this industry moves is forcing Nidera to perform quick and flexible transactions with as little disruption as possible to the financial transactions between the 20 subsidiaries, the suppliers, the charter companies and the banks. Every day, tens of millions of euros are traded in more than 10 currencies. If the bank were to go-under or collapse for any reason, the consequences would be devastating for the continuity of Nidera’s activities. The banking crisis accentuated this vulnerability. As a result, Nidera decided to transact directly with more banks, rather than with just their company bank, in order to reduce the risks.
In order to prevent getting bogged down by bank-specific payment methods and protocols, Nidera decided to connect to the SWIFT network. SWIFT stands for Society for Worldwide Interbank Financial Telecommunications. The society was set up in Brussels in 1973 by a large number of European and American banks. It consists of a worldwide secure electronic communication network across which billions of messages and payments are sent per year. With SWIFT, companies can receive data and send orders through one bank-independent communication protocol. At first, SWIFT was only used by financial institutions. A few years ago, it was opened to companies such as Nidera.
Capgemini – an accredited SWIFT Service Bureau – was selected on the basis of a transparent and concrete proposal that consisted of a clear approach, including planning, costs and commitment, that would enable Capgemini and
Nidera to implement the connection quickly. Within two months, the office in Rotterdam was able to use basic SWIFT functions, and the foundation was laid for additional SWIFT services, such as the exchange of letters of credit and currency exchanges. Capgemini and Nidera ensured that the connections used to exchange information with Capgemini’s SWIFT Service Bureau infrastructure were secure. After Nidera received its own BIC (Business Identification Code), Capgemini created a separate environment for Nidera in its own SWIFT Service Bureau infrastructure. The project was completed on time and within budget. Following the successful exchange of files with banks, Nidera went live as per the schedule and quickly expanded the number of connected banks.
With the connection to SWIFT, Nidera is no longer dependent on one bank but can do business with several banks at the same time, spread the risks and choose better bank products. This improves the company’s position with the banks, guarantees its continuity and increases its flexibility. Those were the key business drivers, and they have all been met. After Rotterdam and Singapore, the other subsidiaries around the world will also be connected, creating a foundation for more projects, such as the connection of the SAP environment.
How Nidera and Capgemini worked together
The communication between the companies was good and constructive from the beginning; we were a team from day one. We respected each other’s expertise and understood that it was needed in order to make this a successful project. Capgemini mainly took care of the technical side of the implementation, advised us on SWIFT services and got the banks up and running. Nidera made appointments with the banks, provided the bank information and etermined/monitored the go-live moment.