TOTAL FINANCE GLOBAL SERVICES GOES SEPA

As SEPA frontrunner, Total Finance Global Services (TFGS) was one of Total’s two pilot entities for migrating to SEPA. Together with Total Belgium, the company’s migration process will be used as a model for the Group’s European countries.

Key facts.

  • Total is the world’s 5th largest energy company.
  • TFGS operates in 8 countries of the SEPA zone for SCT and in 4 countries for SEPA direct debit (SDD).
  • It took 3 months for TFGS to implement SEPA credit transfer (SCT) in 2010.
  • Approx. 100 clients for SDD.

Key Learnings.

  • Being a pilot SEPA company for the whole Total group demands exemplarity.
  • Starting early means all the necessary bank resources are available.
  • A close partnership with the bank from A to Z is key to the success of the migration.

 Client Profile

A Belgium-based company, Total Finance Global Services provides financial services to other companies in the Total Group. It has about 100 SEPA direct debit (SDD) clients – all B2B and mostly international companies - and mainly handles cross-border transactions.

"After the Payment Services Directive, we looked into the implications and opportunities for our organization. We considered we had the correct profile to be an early adopter of SEPA payments and direct debits. Almost two years after the first transactions, we must say that BNP Paribas was the perfect partner for this. Their help and support was a key factor to turn this project into a success."

Jan Pauwels, Treasury & Cash Manager - Finance Division at Total Petrochemicals —

Client Context

TFGS was BNP Paribas’ first corporate client to implement Swift. Before migrating to SEPA, the Group was looking for a banking partner with the right expertise and the ability to commit for the long-term.

Client challenges

Regarding SEPA Credit Transfer (SCT) TFGS operated in eight different countries where it had local banking partners and used local payments instruments. The company chose BNP Paribas to centralize payments from one single account based in Belgium. It then moved on to SCT, with further benefits as a result: a single format for all payments, simplified systems and reduced banking and systems costs.

In 2010, the SDD scheme was implemented in four countries (BE, NL, DE & FR) within six months. The objective was to debit clients for the recurrent provision of petrochemical plastics and raw material, providing a reliable solution for cross-border debits. Accounts were previously held in the four countries using local processing systems and formats. With the implementation of SDDs, collections are now centralized from one single account in Belgium.

BNP Paribas’ Solution

Thanks to BNP Paribas on-boarding services, TFGS was provided with expert support from A to Z. The BNP Paribas’ team helped plan and structure the company’s migration projects and provided support throughout their implementation and roll-out.

Benefits

  • One single bank in Belgium for SCT.
  • Issuing cross-border direct debits from one single account.
  • Reduced banking and systems costs.
  • Streamlined banking relationships.
  • One single format replacing several local formats.
  • One single point of entry for all reporting.