The In-House Bank of Roche: “We Innovate Corporate Treasury”

Published 25 Jun 2012
Reference 5802
Region Europe
Summary

Until 2002, Roche’s treasury activities were decentralized. Then a number of external factors resulted in the multinational company recording a loss of CHF5,192 million. Determined to build a more robust centralized treasury system, Roche conceptualized and implemented an in-house bank (IHB) coupled with cash pooling from its affiliates worldwide.

Teaching objectives

The case aims to help students to: 1. Understand the role of treasury operations in implementing corporate strategy 2. Obtain an overview of Corporate Treasury and the stages of centralization 3. Recognize the properties/limitations of combining outsourcing and centralization through an IHB 4. Understand the benefits of centralized treasury in a financial crisis

Keywords
  • Liquidity
  • Corporate Treasury Operations
  • In-House Banks
  • Cash Pooling
  • Centralized Treasury
  • Payment Factory
  • Stages of Treasury Centralization
  • Treasury Platforms
  • Q41112
  • Corporate Governance
  • Value Creation, Strategy and Implementation
  • European Competitiveness
  • Europe