SIA-SSB: Restructuring and Cutting Costs
In an attempt to become one of the leading payment systems players in Europe, SIA-SSB plans to extend its range of services for banks, consolidate its presence in the corporate and public administration (PA) sectors, and maintain its role for central institutions. As part of a three-year plan, the company will restructure its business into four divisions: financial institutions, corporate and PA, central institutions and network services.
In particular, growth in the domestic market will be pursued through the expansion of the range of services for banks – both national and multinational – beginning with the collection and payment services that have always represented the core business of the company. Attention will also be given to the development of the corporate and PA sector, with the aim of offering new, value-added services including the opportunities related to the opening up of the payment services market to the new non–banking organisations, or payment institutions (PIs), following the introduction of the Payment Services Directive (PSD).
At the same time, SIA-SSB will maintain a strong presence in the ‘system’ areas, such as clearing and settlement, market infrastructures, RNI – national interbank network.
In the European markets, the plan presents a distinct focus on processing services for payment cards in eastern and western Europe and on the development of new network services for central institutions.
The company has set itself the objective by 2013 of achieving a total savings of €65m, effectively cutting 20%. The areas where action will be taken include the elimination of non-strategic business lines (e.g. securities back office and derivatives platforms), optimisation of technology platforms (particularly those for card management and authorisation transactions), and the revision of governance and development processes and instruments of the software factory.
In addition to cutting costs, SIA-SSB plans to make investments in technology of around €65m.
SIA-SSB’s chief executive officer (CEO) Massimo Arrighetti said: “The three-year strategic plan represents a crucial turning point in the development of SIA-SSB group. With this plan, we believe we are laying the foundations to become a leading player in the European payment systems market, which for some time now has been experiencing a profound transformation and witnessing the progressive concentration of its operators. Today we are working with a renewed sense of passion and attention to our customers, with the objective of creating important projects and partnerships which will enable us to offer tailor-made, high performance technology solutions and to promote the creation of a network of excellence at international level.”