Getting to Know Our New Cash Management Executive:
A Q&A with Martin Runow

Martin Runow

Martin Runow brings a focus on consistent service and consultative support to his new role as Head of Cash Management Corporates, North America. The 20-year veteran of corporate banking at Deutsche Bank sat down with TreasuryPulse recently for a question-and-answer session to discuss what US clients can expect during his tenure.

Before your current assignment, you served in the same capacity for the Bank's Europe, Middle East and Africa (EMEA) division, based in Frankfurt. What else might readers find interesting about your professional background?

MR: I was once based in New York as a corporate banker, a relationship manager. But for about the past 10 years I've held a series of cash management positions. I was one of two senior product managers in Europe managing the SEPA [Single Euro Payments Area] project at its inception.

How would you describe your mission in US Cash Management?

MR: Our mission is to open up Deutsche Bank's global network and global cash management expertise to our US clients and prospects. We want to take a solutions oriented, consultative approach that covers the globe. We don't want to be just US cash management experts who only know ACH, checks and wires in the US. We want to be the "go to" source for our clients when they want to strategize about their business in a global context.

Additionally, we'll be focused on providing top-flight service.

What's your driving strategy?

MR: To build on the relationships we have with top US firms, and to ensure that we grow much closer to those firms. It's a crazy world out there with crisis layered upon crisis, so in banking there's value in knowing your counterparty and establishing real partnerships. The cornerstone of any relationship a bank has with its top clients is helping them in every aspect of the commercial banking business, both in the US and wherever they operate globally. In doing so, we want to deliver consistent and consultative service.

Why the emphasis on consistent and consultative?

MR: Transaction banking is a very operational business that involves executing basic functions — such as paying employees in another country — where the client needs you to be flawless. We want to deliver a very consistent service and approach across all the countries where our client touches Deutsche Bank. We also want to be a consultative partner, understanding clients' cash flows and how their systems are set up, so we can be the "go to" resource when they're looking for cash management solutions.

How is Deutsche Bank positioned to meet the cash management needs of US exporting companies?

MR: Throughout its history, Deutsche Bank has supported international trade. It's part of the Bank's DNA. So when, for example, we have clients looking to ensure they can pay their vendors across borders, despite the difficulties of certain currencies or markets, providing such assistance is very natural for us.

Most of our US-based clients are doing significant business in Europe. Since that's where I've spent a good part of my career, it's also natural for me to counsel them on how they can achieve the right level of visibility and control over their cash flows in that region.

Are there any innovative Deutsche Bank products that you expect to be a key component of future solutions for many US clients?

MR: Two spring to mind. One is FX4Cash, our global cross-currency payments solution that allows clients to make payments in more than 120 currencies into more than 175 countries from a US dollar account, and also receive foreign currency payments in that account. FX4Cash enables clients to avoid having accounts in countries where they don't have significant business and offers transparency relative to rates and execution.

The other is the Autobahn App Market, which represents our effort to make corporate banking applications more user friendly, much like they are today in the consumer online world. Through our Autobahn branded portal, clients can now pick and choose the banking apps they need, not only for cash management but for all corporate banking functions (see related story in this edition).

Can you discuss how Deutsche Bank is organized to serve clients by industry segment and how that benefits them?

MR: We take an industry focus to serving clients across the bank, whether it's in relationship management, debt capital markets or the cash management product area. This allows us to replicate and leverage industry-specific solutions, where applicable. Much of what we offer in cash management applies to all industries — everyone needs accounts, visibility and control. But there are some solutions where integration capabilities and regulations are industry specific, and that's where our approach pays off for clients. An industry segment where this approach has been extremely successful is non-bank financial institutions, where companies such as insurance and financial technology firms tend to be heavily regulated.

What are some Deutsche Bank strengths in US cash management that readers might not know about?

MR: It might surprise some to know that we are a major player in the US electronic payments market — a top 5 wire transfer provider based on volume processed and a top 15 Automated Clearing House (ACH) processor. The latter may not sound impressive until you consider that Deutsche Bank doesn't have any US retail payment operations. Our ACH volumes have been rising quickly the past two years with the acquisition of some large corporate clients.

In the electronic payments space, we're particularly strong at helping clients integrate, automate, centralize and eliminate paper checks.

Is there anything else you want US treasury managers to understand about Deutsche Bank?

MR: We value long-term relationships. We want clients to view us more as a partner who is in it for the long run rather than as just a service provider. Year after year, our aim is to provide consistently strong service and consult with clients on their treasury challenges.

In your consultative role, do you have any general advice for our readers?

MR: I have one very important recommendation for every US company doing business in Europe: Make sure SEPA is at the top of your agenda. Most US companies will need to make changes to their system architecture and payment processing related to all euro countries by February 2014, the new regulatory end date for the legacy national payment schemes. If they don't start preparing to use the new SEPA instruments now, they will be in trouble when the end date arrives (see related story).