Align Technology: FX Hedging Program in Alignment with Senior Management’s Goals

Challenges

• Data visibility, collection, and analysis were very difficult
• Daily Rate Environment caused complexity in analyzing results
• Regionalized approach resulted in multiple iterations of accounting principles and platforms, preventing visibility into FX exposures
• FX trades done manually over the phone, leading to rate loss and non-competitive bids

Solution

• Moved from a daily rate to a monthly rate environment for the FX Program
• Integrated Kyriba FX with SAP ERP and implemented Data Integrity Analysis to validate exposure and identify inconsistencies
• Began scorecards for regional accountability based on actual vs. forecasted analysis
• Introduced trading partner FXall to provide market-best rates for trades

Outcomes

• Streamlined data flow end-to-end and gained confidence in data, decision-making, and the FX hedging program
• Monthly Rate Environment with refined forecast methodology and visibility into true exposures
• Eliminated spreadsheets and manual input with automation and ERP integration
• Reduced overall cost of hedging with best-rate availability