Barclays Case Study - QinetiQ
QinetiQ is a leader in defence, aerospace, security and related markets. With more than 9,000 employees worldwide, it is the UK’s largest research and technology organisation.
Barclays was selected to provide a range of domestic and international cash management services to meet the current and future requirements of QinetiQ’s business in the UK.
QinetiQ reviewed its internal processes to investigate services that were available to help them introduce better disciplines for its business. The company also wanted to assess the potential benefits that could be achieved by using new services, such as multi-currency pooling, which would support the development of its centralised treasury function and give QinetiQ the opportunity to embed a more ‘joined up’ approach within its business systems.
It was also envisaged that the new services would help QinetiQ to improve its cash forecasting techniques, provide enhanced MI and new opportunities to identify sustainable cost savings.
In addition to the traditional cash management tools of internet banking and Bacs, a multi-currency pooling arrangement was identified as an account structure that could deliver tangible financial benefits.
QinetiQ operates accounts in multiple currencies, with significant currency flows affecting net positions. Our specialist team at Barclays helped the company to analyse how, by using multi-currency pooling, its risk could be mitigated, interest opportunities maximised and currency positions managed more effectively.
The adoption of these services completed the first phase of the project and planning for phase two has now commenced where the company will investigate whether it can develop its cash centralisation project even further, by linking its cash services with its other banking partners in the US and Australia.