Through its use of GLX CONNECT, Shell is successfully initiating digital tenders in its short term trading business. Here’s how.
THE NEED
With digitisation being a key focus for Shell, the company was keen to try new digital trading tools and technologies that could better connect the market and enable easy access to tender processes.
Shell was looking for solutions that could introduce better and more convenient ways of doing business and engage with its customers. Specifically, the company needed a tool that could effectively and efficiently initiate tenders within its short term business.
"Digitisation is a key enabler to streamline processes resulting in more effective and efficient ways of working. GLX software enables us to achieve all of this, plus brings new ways to collaborate and connect with the market,” Leo Biezeman, Business Opportunity Manager, LNG, Shell.
THE SOLUTION
After evaluating a range of tools, Shell selected GLX Digital’s Connect software for its ability to allow trading teams to digitally and instantaneously connect with multiple counterparties at the push of a button. This saves traders valuable time and gives them a single line of sight across all trades.
“GLX Connect stands out amongst the various new platforms looking to offer efficient ways to connect LNG market participants,” says Biezeman.
“GLX is not seeking to gain access to, or sell, proprietary market data, but provides a software solution focused on rendering the process of its customers efficiently – data ownership and control remain with the GLX user.”
The GLX Connect technology allows Shell’s LNG trading teams to buy and sell LNG cargoes using their own private and confidential digital trading environment, connecting in real-time to all its customers within the platform.
THE RESULTS
Since integrating GLX Connect software into its trading environment, Shell has successfully initiated tenders through the platform, inviting multiple counterparties to each trade.
Digitising the tender process has not only reduced communication time, it has also allowed trading teams to seamlessly gather trade-related data on a single platform, access customised term sheets, and compare and evaluate multiple bids side by side.
"Simply, GLX Connect is a digitalisation tool that makes workflow more efficient, more robust and accurate,” Robin Zwiers, Senior LNG Trader, Shell.
“We enjoy working with the platform because it allows us to gather deal specific information very quickly. It’s very easy to compare different bids from different counterparties simultaneously.
“The system is set up to evaluate a lot of term sheets at the same time, and compare the terms within those sheets quickly and easily. It’s an efficient tool for that.”
The ability to customise term sheets and then share them digitally via the platform is another valuable feature – it has given traders greater version control and reduced incidences of human error.
“As traders, we shoot across many term sheets a day and all of them are bespoke in a way. Having a centralised set of templates that everyone in the team can simply access from any geographical location is useful because it ensures consistent and appropriate termsheets.
“The platform eliminates the back and forth of emails where different (term sheet) drafts are being shared and version control is a possible risk. GLX Connect offers an error-free environment where comparing different offers and bids side by side is easy. This has been one of the biggest benefits of the platform,” says Zwiers.
Importantly, GLX Connect also offers a seamless, simple and intuitive user experience.
“The interface is intuitive and easy to use, and the design is clean and fit for purpose. I believe the business has benefited from using this tool.”