Banks should find value in going beyond the treasury function and serving corporate clients in areas such as payables and disbursements, according to a new report form Boston-based Aite Group.
The report, based on a June through September survey of 20 senior bank payables and disbursements product managers, identifies opportunities for banks and technology vendors to enhance their relationships with clients via corporate payables offerings.
According to the survey conducted by Aite Group, 60 percent of respondents said payables/disbursements solutions are "very important" to their bank's revenue. Sixty percent said these solutions are "extremely important" to their bank's revenues over the next two years.
Treasury staffs at companies worldwide are becoming more involved with key corporate functions -- especially financial ones, such as procurement, accounts payable, and accounts receivable, said Aite Group. Banks, in turn, should recognize this higher-level treasury focus and want to support it.
"Companies, banks and technology vendors are on the same page when it comes to accounts payable processing; all three want to introduce automated solutions to lower costs, reduce errors and speed processing time," said Nancy Atkinson, senior analyst with Aite Group and author of the report. "By offering payables-processing offerings, banks will develop stronger relationships, retain more business and lessen the importance of pricing as a factor in a company's choice of bank. Vendors can assist banks by providing educational tools that help internal bank employees and external clients with their daily jobs."