International dairy foods and nutritional ingredients Group, Glanbia plc use Coface's complete credit management policy Globalliance Open Trader to support their strategic development
Glanbia Plc
- Company: Glanbia Plc is a leading international dairy foods and nutritional ingredients Group headquartered in Ireland. Glanbia has operations in Ireland, Europe and the USA, with international joint ventures in the UK, USA and Nigeria.
- Business situation: Glanbia plc used various credit insurance policies from other leading credit insurers. The business reviewed their existing arrangements in 2006 and Coface was selected to provide the company with a total, flexible credit management solution.
- Solution: Coface's Globalliance Open Trader policy - a whole turnover policy offering domestic and international cover against non-payment of debts, insolvency and political risk.
- Result: Glanbia plc to date has achieved premium savings and improved credit limit coverage - both of which support their growth strategy.
Company
Glanbia Plc is a leading international dairy foods and nutritional ingredients Group. The company was formed in 1997 from the merger of two of Ireland's leading publicly quoted dairy food companies - Avonmore Foods and Waterford Foods plc.
The company employs approximately 4,500 people and has an annual turnover of €1.9 billion.
Business Situation
The Group is successfully developing a strategic international presence, which today represents nearly 40% of revenue. Glanbia continues to consistently improve the cost base, productivity and long-term sustainability of the Irish operations. Combined these give Glanbia a strong platform from which to continue to grow and develop.
Protecting their debt exposure is vital for the company to achieve these objectives - Glanbia plc recognised the need for a credit insurance policy that offered domestic and international cover against non-payment of debts, insolvency and political risk.
The Coface Solution
Glanbia plc selected Coface's Globalliance policy, which provides cover for their operations in Ireland, UK, Germany, Mexico and the USA.
Developed specifically for businesses looking for complete cover for all customers - domestic and overseas - Coface's Globalliance policy provides Glanbia plc with increased protection against insolvency and non-payment of debts.
A comprehensive credit management service, Globalliance includes credit limit management, insurance and is fully inclusive of legal and pre-legal debt collection services.
Coface's Globalliance has a modular structure - this means that a central policy is issued to Glanbia plc with their businesses having separate policies (with Group terms and conditions) that are structured in the local language and according to local law.
Glanbia plc have access to a dedicated key account management team from Coface, which is made up of commercial and risk experts. Coface's flexible approach has enabled the key account team to support the structure of Glanbia plc's internal credit management set up.
Results
Working with Coface as a credit management partner gives Glanbia plc a number of business advantages.
By amalgamating all their credit insurance policies with Coface, Glanbia Plc has achieved premium savings, has a consistent policy offering, and increased credit limit coverage. They also have access to risk underwriters with export experience, which is a key factor for the development of their international business.
Coface's Globalliance policy provides enhanced credit controls - with online credit limit management - which enables Glanbia plc to credit check new customers and monitor late payments, thus enhancing their customer relationships.
Glanbia plc are also benefiting from Coface's underwriting expertise and access to detailed information on 50 million companies worldwide. This acts as an excellent prospecting service for any new customers they would like to approach.
Eamonn Walsh, Customer Services Manager at Glanbia plc says "Coface's Globalliance provides us with a flexible solution that has been tailored to meet our needs. The policy provides us with an assessment of customer and country risk, collection services as well as domestic and international cover against non-payment of debts, insolvency and political risk. Coface worked hard to accommodate our requirements and we are very pleased with the result."
