6 DECEMBER 2022 – Tokyo – Numerical Technologies, Inc. (“NumTech”) has implemented NtSaaS® for Marubeni Corporation (headquarters: Tokyo, “Marubeni”).
Marubeni is an integrated trading company that operates in a variety of industries. The company has 132 branches and offices in Japan and abroad, with 463 consolidated companies as of 2022. Since 2000, Marubeni has been using NtInsight, a financial risk management solution from NumTech, to visualize the risk of its asset portfolio including various exposures on a consolidated basis.
Ensuring data quality on a consolidated basis is extremely difficult for a corporate group with many overseas offices and affiliates. In particular, after collecting detailed transactional data and risk information from the head office and consolidated companies, the workload in the preliminary stages of risk measurement, such as data cleansing, error processing, and correction, is considerable. In addition, to accurately identify business risks, it is necessary to recognize a wide range of exposures from a risk management perspective, regardless of whether they are on-balance sheet items for accounting purposes or whether they can be converted to economic value at a point in time. In the first year of implementation, data cleansing alone took three months, but Marubeni and NumTech worked together to create a flexible data collection process. Then, from 2003 onward, a system was built and maintained to complete risk simulations aligning with annual financial results.
However, in light of the diversification of the portfolio due to the recent string of acquisitions, many concerns arose such as the increasing complexity of risk profiles, the importance of IT security, and the need for more flexible functionality and improved maintainability. Therefore, it was decided that the workflow and database will be rebuilt on AWS (Amazon Web Services) to collect data from domestic and overseas offices and consolidated companies and migrate to risk measurements in NtSaaS, which already has been proven at many other financial institutions.
With the operational and system assistance of NumTech Japan, Marubeni has reviewed the data inventory, data collection method, and calculation logic, and has reorganized the master data. Using the AWS database system developed by NumTech Singapore, Marubeni’s entire workflow has been streamlined from data collection to risk calculation.
Based on this achievement at Marubeni, NumTech will further focus on SaaS services, including database services, for companies in other industries in addition to financial services.
