SAP Bank Communication Management

Streamline payment processes, Strengthen Compliance, and Increase Operational Efficiencies

Bank communication is a mess within many global corporations. Companies often have to maintain several dozens of different bank communication interfaces which are
based on different protocols and technologies. This results in high total cost of ownership, a lack of cash flow transparency and huge working capital inefficiencies. Organizations often fail on Straight-Through Processing while trying to achieve seamless integration with their banks.

The SAP Bank Communication Management application helps companies streamline payment processes and lower the cost of managing multiple bank communication interfaces. The application also helps
companies reduce complexity, improve control over the release of payments, strengthen compliance, and increase operational efficiencies. SAP Bank Communication Management gives companies an accurate, real-time view of payment transactions across the entire payment cycle. An intuitive payment-status monitor allows authorized users to view the status of payment transactions, pending approvals, and exceptions as well as view incoming status messages from electronic payment networks and individual banks.

In addition, companies that are members of the Society for Worldwide Interbank Financial Telecommunication (SWIFT) can receive acknowledgment messages or delivery notifications that automatically update the status of pending payments. In the event that SWIFT or an individual bank is unable to process a payment transaction, the application can receive error or negative-status messages and display them in the payment status monitor. It accesses the SWIFT network through a companion application, SAP Integration Package for SWIFT.

The application also supports the Universal Financial Industry (UNIFI) message schemes defined by the International Organization for Standardization (ISO) and SWIFT – schemes referenced as ISO 20022. These standards are one of the key enablers of electronic payment adoption. The Single Euro Payments Area (SEPA) initiative, designed to harmonize payment conditions, rights, and obligations for all companies doing business in Europe, is leveraging the ISO 20022 standards and became effective in 2008. To compete effectively in this new environment and benefit fully from the SEPA-supported improvements in cash and liquidity management, companies need applications that are compatible with standardized payment schemes. SAP Bank Communication Management fully supports the newly designed XML payment schemes defined by the European Payments Council, the governance body that defines the standards and rules for euro payments.