Trésorier/Treasurer magazine - N°88 - Jan/Fev/Mar 2015 - (Page 9)

INTERVIEW From Legal Entity Management to Bank Account Management Entity, Bank Account and Individual Linking The company must have a single, organized banking authority to oversee the overall gains and losses of the company at the corporate to the retail level. This means there has to be a single overarching authority for all corporate banking functions, including signing authority over loans, acquisitions and debts; signing authority over the same; a hierarchy of authority from the Board of Directors and down; clear and The amount of time necessary for banking structure and correspondence has been cut significantly, translating into resource optimisation across each House within the company. Centralization LVMH must have, by its nature, a centralized view of authorization for all corporate banking needs. The centralized system will have a full link between the legal entities of LVMH. Oversight of the corporate body and systems will also need to be addressed completely within the scope of the centralized banking system. Administration of Banking Authority Within the banking administration and oversight, there will be necessary and required paperwork for all stages of the company. Taxation rules across countries vary, so it is vital to have all documentation and letters ready and easily generated by any member of the banking authority. This means moving to a streamlined system (BAM) for all processes and exchanges within the company and across the different countries. Internal reporting, to include resolutions and files, and external reporting, correspondance to stakeholders and shareholders, are now automatically generated and expedited into BAM preparing the eBAM platform as the next stage in a software implementation within LVMH. Solution The Bank Account and Signer Authorisation Management software is a new way for LVMH to meet these critical areas of - JAN N°88 precise understanding of the different Houses within the entire company and oversight of the internal factors, audits and best banking and business practices. - The Challenge Such a diversified group has to meet the needs unique to a multi-brand organization with mergers and acquisitions, various holding structures, as well as deal with the more standard challenges of various cultural, language and monetary exchange rates in the different parts of the world. This means the company requires a centralized group management tool for its legal entity and banking authority management. Meeting these needs is a three-fold process: LE MAGAZINE DU TRESORIER / TREASURER MAGAZINE A world leader of luxury goods across a variety of countries, LVMH is a diverse company with stakes in over 50 Brands ranging in Luxury goods such as Louis Vuitton, Christian Dior, Moet & Chandon, Hennessy, Tag Heuer, Sephora among others. The company is headquartered in France, but it has satellites in each of the major regions of the world: the U.S., Asia, the E.U. and Japan. / FEB / MAR 2015 LVMH, a multi-brand organisation 9

Table des matières de la publication Trésorier/Treasurer magazine - N°88 - Jan/Fev/Mar 2015

Cover
Table of contents
EDITORIAL
FINANCIAL HIGHLIGHTS Luxembourg Tax News
INTERVIEW From Legal Entity Management to Bank Account Management - LVMH case study
FOCUS
Treasurers, do you have any BEPS?
Reguvolution
7 Ways to impress your CFO boss starting now
FORUM
How to do more with less
Repo made easy
Comment combiner rendement, liquidité et gestion des risques pour sa trésorerie : l'exemple français
Les stratégies d'Alpha, à la rescousse d'un environnement de taux faibles
CORPORATE FINANCE
The benefits of collateral for the corporate treasurer
Les états financiers dans le cadre d'EMIR - que réserve l'avenir?
VAT changes as from 2015: new reimbursement procedure of VAT credit
Investissement des entreprises - une nouvelle ère pour la trésorerie
15 MINUTES AVEC USG Finance Professionals
THE RISK OBSERVATORY
NEWS
LIFE BEYOND NUMBERS

Trésorier/Treasurer magazine - N°88 - Jan/Fev/Mar 2015