Unilever

Unilever Gains Visibility Into Global Cash Management Operations With Redbridge

Engagement Overview

• Assess and optimize the cash management fees charged by six global banks
• Scope: North America and Europe (across 24 countries and 10 currencies)

Objectives

• Improve visibility on volumes and fees for each bank
• Evaluate charges over the past 12 months
• Review current market practices and innovative service offerings
• Design and implement a fee optimization strategy
• Maintain strong relationships with banks

Results

• Conducted bilateral negotiations with the banks leading to a recurring annual savings of 17%
• Added seven figure overall value to Unilever’s bottom line
• Provided potential ways to optimize unchecked service items such as payment cards and earnings credit rate (ECR)
• Obtained competitive offerings from incumbent banks, even on new and innovative service offerings
• Ensured better visibility and monitoring of fees going forward by implementing agreed-upon pricing schedules

Methodology

• Full assessment and mapping of banking services, including volumes and pricing, coupled with a thorough review of the fees charged over the last 12 months
• Detailed benchmark of all payments and services (including payment cards and ECR)
• Support provided to Unilever’s treasury team during the decision-making process and negotiations with banks

Value Added by Redbridge

• Helped collect all the data from the banks
• Conducted a rigorous assessment to map and estimate cash management costs by bank
• Provided in-depth knowledge of market prices and banking best practices across services and countries
• Supported Unilever during extensive negotiations with banks to safeguard long-term relationships
• Provided full support to Unilever until new pricing schedules were implemented