of December, 2013: Easa Saleh Al Gurg Group
) was declared winner in the 'Small/Medium Corporate Treasury Team of the Year' category at the ACTME Deals of the Year Awards ceremony held during the organisation's 4th
Middle East Annual Conference. The Association of Corporate Treasurers Middle East (ACTME) is the leading body for treasury and finance professionals.
ESAG's Treasury team earned the top prize following the radical reformation of its treasury function throughout 2013. The six-member strong treasury team worked relentlessly to consolidate cash management and trade finance across the Group. Over a 12-month period, it created a centralised treasury department, with an in-house bank, to consolidate cash management responsibilities that had previously been dispersed among the 23 different companies within the Group. In addition, it rationalised the Group's banking arrangements by closing more than 60 accounts and setting up a centralised trade finance processing centre, as well as a payment factory, that now makes payments on behalf of the entire Group's entities.
"Easa Saleh Al Gurg Group had a bold and ambitious plan to restructure its financial functions in order to fulfill its commercial objectives. It was a combination of re-engineering the business model, process standardisation and implementation. The Treasury department's committed efforts have resulted in significant savings for the Group, and today we have a dedicated finance process management in place that maintains support to the business through a pervasive change programme," said Abdulla Al Gurg, Group General Manager.
Effecting a change on this scale is not without its challenges. "In order to establish one practice that would work for all, we had to identify the different practices used by our companies in diverse industries," points out Werner Flaig, Chief Financial Officer of the Group. "There were a few concerns at the initial stage of implementation. Fortunately, the results convinced everyone within the Group that this was the only way forward." Easa Saleh Al Gurg Group LLC is a family-owned business, and the support of the shareholders proved invaluable during the restructuring. "They were extremely cooperative or else we would never have been able to achieve results," says Flaig.
The overhaul was underpinned by a substantial investment in technology. In October 2011, Easa Saleh Al Gurg Group LLC's treasury team went live with a SunGard Quantum Treasury Management System (TMS), which enables it to carry out netting across all its bank accounts on a daily basis. Previously, obtaining consolidated daily cash balances across the Group used to take a significant amount of time and effort. It is now a smooth, automated process that has effectively eradicated debit balances. As a result, the Group has saved AED 2 million in interest in the course of a year.
About Easa Saleh Al Gurg Group LLC
Founded in the year 1960 by H.E. Easa Saleh Al Gurg, KCVO, CBE, the Easa Saleh Al Gurg Group LLC (ESAG) is a multidivisional conglomerate with 23 companies. The Group has a range of diverse product and business interests that predominantly include retail, building and construction, industrial and joint ventures. The Group has an active presence throughout the UAE, Oman and Qatar. Its reach stretches across Asia, Middle East, and the African continent, parts of America, Australia and New Zealand.
As one of the leading business houses in the UAE, ESAG is a reliable regional partner to over 370 international brands and principals from across the world. Its portfolio of exclusive, top end brands includes names such as Siemens, Osram, British American Tobacco, United Colours of Benetton, Dunlop, Armitage Shanks, Viking Johnson, Siematic, Danfoss, Fisher & Paykel, Interfaceflor, Parador, Smeg, and 3M amongst others. The Group's key joint ventures include Al Gurg Unilever, Siemens LLC, Al Gurg Fosroc, Arabian Explosives and Al Gurg Smollan.
With a team of over 3,000 professionals, ESAG has achieved tremendous growth and diversification in the last five decades. The Group remains keen to identify and associate with global brand leaders through trading partnerships and technical collaborations.
© Press Release 2013