Universal Value eXchange UVX Project

1
Universal Value eXchange (UVX)Project Supply
Chain Integration

• Michael M. Talley
• Lead Independent Director Audit Committee
  Chairman, University Bank
• Chairman, FSTCs Council for Community Banks
  Member, FSTCs Security Payments Committees
• ([phone]
• mtalley_at_ladenburg.com

2
University Bancorp

• Member of Financial Services Technology
  Consortium (FSTC.org)
• American Bankers Association (ABA)
• Independent Community Bankers Association. (ICBA)
• National Association of Corporate Directors
• National Coalition for Advanced Manufacturing
• National Center for Manufacturing Sciences (NCMS)
• U.S. National Coordinator for United Nations
  Centre for Facilitation of Trade and Electronic
  Business, International Trade Business
  Processes Group, Working Group 5 Finance Domain
  (UN CEFACT TGB5)

3
Supply Chain Integration Projects and
Participations.

• Member, FSTC Security Committee.
• Member, FSTC Payments Committee.
• Participant in FSTC Security Committee Liberty
  Alliance/SAML Report.
• Chair, FSTCs Council for Community Banks
• Liaison to SIMC, (Security Industry Middleware
  Council
• CSIS, (Center for Strategic International
  Studies.
• Chair, Business Development Committee of the
  National Association of Automated Clearing Houses
  (NACHA)s Electronic Billing Information Delivery
  Service (EBIDS) Project
• Member, Ford Foundation Innovations Center for
  Banking Technical Advisory Board

4
Supply Chain Issues

• Federated Identity Management
• Data sharing
• Communications and email security
• E-billing and E-Payment

5
Focus of UVX Project

• Universal Value eXchange
• (BIPS) Bank Internet Payment System
• PACES Check Imaging (Check 21 Act)
• Some work on Small Value Payments known today as
  Micropayments
• E-check Project Message Protocol FSML (Financial
  Services Markup Language)

6
UVX Focus

• Build a platform that would allow the various
  payment solutions now in place to interoperate
• Next step after Interoperability Integration
• Model Driven Architecture (MDA) offers a path to
  Integration Solutions

7
Supply Chains After 9/11

• The government cannot afford to protect your
  Supply Chains all the time, in every aspect
• Public and Private Sector must collaborate
• Create Value Proposition for Private Sector In
  particular Technology Companies.

8
Role of Financial Institutions

• Risk of Identity Management
• Assurance of Payment
• Risk and Risk Mitigation
• Assist in Development of tools to quantify the
  risk at the points of leverage and danger within
  Supply Chains

9
Supply Chain Synchronization
CSI Status Logistics Effects Cargo Data Financial
Commoditization Solution Leadership
Opportunities
Vessel Arrival
Warehouse Entry
Container Load
Customer Pick
Unload/Truck Load
Inspection
Manufacture
Vessel Load
Pick
Port Entry
Transport
Pick
Shelving
Transport
Retail Shelf
Transport
Store Arrival
Stock
Truck Load
Asset Movement
U.S. Border
External Data Events
CF 3461 CF 7512
ESCM Reporting
Sale
Booking
Manifest
Restock
Shipping Instructions
ExIm Docs
Load Permission
Money Events
Sarbanes-Oxley
Purchase Order
Profit
LOC Redemption
Identity Mgmt.
Supplier Payment
Assurance of Payment
Insurance
LOC Issue
Settlement
10
Covansys

• Covansys is located in Farmington Hills, Michigan
• Gordon Fuller, Covansys Practise Lead, Secure
  Logistics, Asset Tracking Homeland Security
• The problem is Documents, Certifications and
  Payments must be coordinated in their movements

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Requirements of Patriot Act

• With Sarbanes/Oxley and new customs requirements
  for Container Security, the risks, fines, and
  liabilities need to be understood and the nature
  and costs associated with legal compliance, need
  to be assessed.

12
Role of Financial Institutions in the Payments
Space

• MDA will be useful in developing
• Commoditized Data Sharing for Offshore Operations
• Common message formats
• Common data warehousing and storage
• Automatic Reconciliation Systems
• Common Acceptance of various payment solutions by
  Global Financial Institutions

13
Collaborative Efforts

• The Opportunities and Requirements affect the
  appropriate Government Agencies, the Large Money
  Center Banks, Insurance Companies, and Community
  Banks, of which there are 9,000 in the United
  States alone.
• MDA will assist in the interoperability,
  collaboration and integration issues.

14
Collaborative Experiments among Consortia

• Testing of Security Methods with Supply Chain
  Networks for Federated Identity Management,
  Authentication and Revocation, Communications and
  Hierarchies for Data Sharing, Viewing, and
  Authorization
• Global Logistic Events and Transactional Tracking

15
Collaborative Experiments Among Consortia

• C) Development of Translator Matrixes for Global
  Clearing and Settlement and ERP Systems with
  Interoperability of various Payment Systems, ERP
  Systems and Synchronized Communications
• D) Container Security Integration with Business
  Processes, Intrusion, and Physical Security

16
Contact Info

• Stephen Lange Ranzini
• President Chairman, University Bank
• Deputy Project Manager, FSTCs UVX Project
• U.S. Natl Coordinator Webmaster, UN CEFACT
  TBG5
• ([phone] xt 226
• ranzini_at_university-bank.com
• Michael M. Talley
• Lead Independent Director Audit Committee
  Chairman, University Bank
• Chairman, FSTCs Council for Community Banks
  Member, FSTCs Security Payments Committees
• ([phone]
• mtalley_at_ladenburg.com