Kantox API: currency management automation to improve efficiency

Businesses today – increasingly focused on expanding internationally – are exposed to a wide range of risks in aspects ranging from taxes to interest rates, cash flow or foreign exchange. These ever-increasing challenges generate additional demands on corporate treasury that most of the time must be met without increasing headcount.For a long time, savvy CFOs and treasurers have been optimising the efficiency of internal processes by implementing software tools to reduce workload and avoid mistakes that can cause significant financial losses. The core element powering this transformation is API.API or Application Programming Interface is a set of functions that connect applications, computers and operating systems to share information with each other. In a business environment, this new medium represents a leap forward towards simpler processes and higher productivity.API already plays a significant role in our day-to-day lives. We use them frequently on comparison websites to buy plane tickets, book vacations or even to check car insurance prices. When you check prices on travel websites such as Skyscanner, Kayak or Trivago, it is their API that feeds the quotes that we see after connecting with different providers’ software.

API in Business

In the business landscape APIs play a vital role in expanding software services to small and medium-sized businesses.Larger corporations have been using digital tools for years to manage payments, improve customer relationship or to streamline information sharing processes between departments.Until recent years, however, that technology was only affordable for the bigger industry players. Nowadays, the combination of further technological developments and the arrival of new FinTech players have opened the doors to digitalisation to businesses of all sizes, covering a broad range of services and paving the path for today's API wave moving through treasury departments.

How does the API work?

Kantox has created a currency risk management API that connects with a client's Enterprise Resource Platforms (ERP) or treasury management system (TMS) to receive updated info about the company's exposure to foreign currency risks.Integrating those data in Kantox platform allows the company to automate the FX hedging strategy and cash management processes entirely. From exchange rate risk monitoring to the execution of micro-hedging or batch payments, all processes become centralised within a unique platform, reducing human interaction to a minimum.

The integration is smooth and seamless. Our experienced tech team helps and supports the company’s technical staff during the short implementation – usually 1 or 2 days' work on the client side and up to a maximum of 1 week in the worst case scenario including a period of thorough testing.Kantox API has already been successfully implemented into all sorts of ERPs, TMSs, financial management software and booking engines. In fact, some technology providers such as Juniper Networks are starting to offer the Kantox API integrated into their business solutionsBefore onboarding with our API, the client can already take advantage of limited automation via our file transfer service. FX data can be sent periodically in a spreadsheet, together with the desired hedging rules, and Kantox will crunch the exposure data, monitor risk and micro-hedge through one single solution: Dynamic Hedging.Automation is one of the most potent solutions available for companies looking to cope with the productivity pressures that come with growing a business. Technology is there to assist - and our API makes this transformation even easier.

Do you want to know more? Request a personalised study