17.10.2019
So you have many offices globally, a data team has visited each office and worked out how to obtain an automated dump of their transactional data. Each day that data can be translated into a standardised unit and field structure.
In the most basic form, this will be a spreadsheet template or csv file, populated from the local contract management system and translated into a structure which can then populate the central data-warehouse. The ultimate goal is a real time update from the source system to the data-warehouse.
Once the transactional data becomes available as an homogenous and clean source, then many advantageous options present themselves.
I must mention another critical element at this point that relates to correct mark-to-market. Forward open risk needs to be marked to a current market price. A dedicated price database should be available for this, there are many off-the-shelf options which pull in all the liquid market data from global exchanges, submitting brokers and forex rates and also allow a lot of customisation such that custom price curves, input directly or as a basis to an already existing curve. Price databases are a huge subject unto themselves and will be a feature of a future blog.
So ultimately we should aim to have a scenario where the global transactional data sits in a data warehouse with all forward contracts marked to a real-time or daily updated price database. This is now a single view of the truth of the current state of the business at any time. Once in place, all reporting should be conducted from this source.
This does not only mean the centralised risk and financial management reports but also every office globally should have permissioned access and report accordingly. It ensures everybody is looking at the same data and reporting on the same data.
Here are just some advantages.
1. Consistency of information across the organisation.
2. Global foreign exchange exposure.
3. Counter-party exposure which can roll up subsidiaries into global group company exposures.
4. Consistency and accuracy of mark-to-market. The same price is used for all trades of the same product and location globally.
5. Transparency and consistency of cost items.
6. Transparency of contract rolling or cancellation and replacement.
7. Clarity of contract management process and measurement of operational KPI’s such as trade input and independent confirmations.
8. Return on working capital by business, geography, product.
9. Global geographical and product position exposure.
10. Clear view of global trade payables and receivables.
11. Risk adjusted return by product and counterpart.
12. Global working capital utilisation and forward projection including variation margin.
13. Ease of global stress test and scenario analysis.
14. Better tracking of geopolitical risk exposure.
The other great advantage is the efficiency of information access. Custom dashboards can be provided to the desktop and ad-hoc analysis can be carried out by anybody within their data permissions. It cannot be underestimated how much time is spent in many companies on gathering, checking and consolidating data. Once there is a single source of truth, the process becomes efficient and allows for very significant cost savings. In addition fast analysis and reporting allows for more efficient and informed decision making across all functions and translates directly into improved outcomes.
The question is whether any global commodity business can really afford not to invest in efficiently managing their data?
Admin - 11:33 | 19 comments
very informative article about the commodity risk management.
can you share with us some information about the USA commodity market review.
I just want to let you know that I just check out your site and I find it very interesting and informative..
Maybe in the future when body styles of vehicles leave flavor, people could essentially unbolt their vehicle body, diminish it to fine residue, and have it formed once more into anything that they’d like. On the off chance that they are a youngster they might go for a Corvette, as they grow up, get hitched, and have a family they might conclude they need a SUV or smaller than normal van. Do you see the point yet.
그럼에도 불구하고 그것은 당신이 할 수 있는 기회에 당신이 인출을 하기 위한 클럽 전제 조건을 충족시키기 전에 도박 기계에 약 $1000를 베팅해야 하는 것입니다. 따라서 웹 룰렛에서 $2000를 획득했다고 가정하면 현재 약 $1,000의 지원을 받고 있으므로 도박 기계에서 $1000를 잃었는지 여부에 관계없이 $1000의 이익을 얻었습니다. 분명히 게임기 보상도 마찬가지로 혜택에 추가되므로 $1000 이상을 벌 수 있습니다.
For every one of their benefits, wellspring pens are commonly not appropriate for accommodation and day to day use. Many individuals probably shouldn’t manage the problem of changing out ink. Wellspring pens require somewhat more consideration than ballpoint pens or rollerballs, and on the off chance that something turns out badly with them, you generally need to invest some energy sorting it out instead of throwing it and getting another one.
Over the course of the following many years, and, surprisingly, progressing forward with today, designing food handling hardware turned into a need. Handling machines expected to fulfill numerous necessities.
20 - 25 years guarantee on mono-and polycrystalline silicon sun powered chargers are normal. This ought to be the base while buying sun powered chargers, since today best sunlight based chargers have futures of 30 years and, surprisingly, longer. Investigate the production line guarantee and don’t acknowledge just a seller’s guarantee.
At first, the investigations that were distributed showed that expanding retinoic corrosive within mice with colon malignant growth assisted with dialing back the movement of the illness. Obviously, this doesn’t sincerely demonstrate that similar outcomes would be seen within people.
Oral treatment with pyridoxine up to 300mg/d doesn’t bring down the fasting tHcy level in solid subjects or vascular patients. Nonetheless, pyridoxine (10 - 250 mg/d) brings down an unusual postmethionine load tHcy level in many patients and, when joined with folic corrosive, practically all get a typical postmethionine tHcy level.
Rideable scooters have become begun to build up momentum as a suitable method for driving to work or in and out of town that is protected and effectively compact.To venture to every part of the rider inclines advances or in reverse and the board will naturally start to move in view of the change in weight.
However winning is significant, the Brazilian soccer group takes a gander at the master plan and needs to be at the top now and later on. The guidelines they set today are for the cutting edge too. They need to ensure that they make the most elevated level of talented soccer players on the planet.
In the event that it’s really great for us, it will be great for them. Further in to the preparation your voice will be the prize and the uncommon treat is only a reward. This exercise ought to likewise be finished utilizing a toy to stand out for your pup.
A decent perspiration has for some time been a customary solution for different ills, however it can likewise be an extraordinary method for detoxifying the body and this incorporates the skin.
此外，考虑当地的基本赌注（尤其是对业余爱好者来说非常好）和允许的最极端的赌注，有经验的投机者会认为这是认真的测试。搜索每月有奖励、忠诚度激励的地点，并给出各种理由（尽管有一流的游戏和福利）来吸引玩家回到他们的网站。
It is in the epidermis where the activity happens. At the point when the DHA sticks with the skin cells, a variety change happens giving you a tan, in any case, ordinary, those dead skin cells swamps off for new cells to show up and the tan shows up with it. That is the justification for why the sun-kissed variety splash tans blurs step by step. Roughly, the tan will endure soon.
Collaborative online projects encourage students to work together despite physical distance, fostering teamwork skills.
Show your appreciation for your followers with unique shoutouts, feature Fridays, or follower spotlights.
Puppies should avoid public areas like dog parks until they are fully vaccinated to minimize disease exposure.
“Local minicabs are a true lifesaver for our community! Their prompt and reliable service have made commuting within the neighborhood a breeze. The convenience of being able to call for a minicab and have it arrive at your doorstep within minutes is unparalleled. The drivers are not just professionals behind the wheel; they are friendly, courteous, and know the local routes like the back of their hand. It’s not just a ride; it’s a personal, comfortable experience. Supporting our local minicab services not only ensures convenient travel but also boosts our local economy. Kudos to these unsung heroes of our daily commute!”
“I’ve been relying on local minicabs for my transportation needs for quite some time now, and I must say, I am incredibly impressed with the level of service they provide. The drivers are always punctual, friendly, and extremely knowledgeable about the area, which is a huge bonus, especially if you’re new in town or visiting. The convenience of being able to book a minicab with just a phone call or through a user-friendly app makes commuting a breeze. What I appreciate the most is their commitment to safety and reliability. It’s reassuring to know that whenever I need a ride, there’s a local minicab service I can trust. Kudos to all the hardworking drivers and staff for making our local transportation system so efficient and dependable!”
“I’ve been using local minicabs for my daily commute, and I must say I’m thoroughly impressed. The convenience of being able to book a ride with just a few taps on my phone is unmatched. The drivers are always punctual, friendly, and have an excellent knowledge of the local area. What I appreciate most is the affordability and transparency in pricing – no hidden charges or surprises at the end of the ride. It’s comforting to know that there’s a reliable minicab service in our community, making travel hassle-free for everyone. Kudos to our local minicab drivers for their outstanding service!”
“I’ve had such positive experiences with our local minicab service! The drivers are always punctual and courteous, and the cars are clean and comfortable. It’s incredibly convenient to have a reliable minicab company in our neighborhood, especially during those late-night outings or when public transportation isn’t as readily available. The drivers know the area like the back of their hand, which makes the journey smooth and efficient. I appreciate the dedication of our local minicab service in ensuring safe and convenient transportation for the community. Kudos to them for their excellent service!”
“I’ve had a fantastic experience with the local minicabs in our area! The convenience they offer is unparalleled. Whether it’s a last-minute ride to the airport or a quick trip to the grocery store, they’re always prompt and reliable. The drivers are friendly and know the area well, ensuring a smooth and comfortable ride every time. Plus, the fares are reasonable, making it a cost-effective choice for transportation. I appreciate having such a dependable minicab service right in our neighborhood. It truly makes getting around town hassle-free!”
https://expresscouriercars.co.uk/local-minicab-service-near-me/
Add comment
Fill out the form below to add your own comments