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The Challenge
Headquartered in Shenzhen, China, ZTE
Corporation (ZTE) is a leading global provider of
telecommunications equipment and network
solutions. Established in 1985 and listed on both
the Hong Kong Stock Exchange and Shenzhen
Stock Exchange, ZTE is currently China’s largest
listed telecommunications equipment company.
Globally, ZTE is the fifth largest player in the
industry after Huawei, Ericsson, Nokia and
Alcatel Lucent.
ZTE has operations in over 160 countries
worldwide. As a fast growing Chinese
multinational company, ZTE aspired to achieve
best-in-class global treasury management by
enhancing control and improving process
efficiency. To achieve this, ZTE had a strategy to
centralize payments, streamline bank
connectivity and establish a global liquidity
structure to enhance visibility, control and
maximize return on cash. In 2005, ZTE was the
first Chinese firm to establish a shared services
center (SSC).
Today, ZTE’s SSC leverages cloud computing
and cloud storage to establish a platform where
the SSC team can be in various cities yet work
on the same platform to provide services to
ZTE’s group entities, as well as external
customers who outsource to ZTE. By 2014,
ZTE SSC has standardized the procedures and
centralized payment process, reconciliation,
budget/cash flow management for over 80
overseas subsidiaries.
ZTE CORPORATION
Strategies for Best-in-Class
Treasury Management
In 2014, ZTE Corporation, a truly global Chinese company, took concrete steps in moving towards
best-in-class treasury management. ZTE partnered with Citi to implement a holistic cash and
liquidity management solution to streamline payment/collection processes, establishing a single
currency Target Balancing Structure for key currencies.
Industrials
Energy, Power
and Chemicals
Technology, Media and
Telecommunications
Consumer and
Healthcare
Non-Bank Financial
Institutions
