Schneider Electric (SE), known as “the most local of global companies,” has enjoyed a longstanding collaboration with Coface, an expert in credit insurance. For decades, SE has relied on Coface's global network and dedicated teams to secure its operations worldwide. This partnership is further strengthened by tailored solutions like single-risk insurance, supporting the development of SE’s data center projects and ensuring proactive risk management.
Driving Coface’s global expansion
As one of Coface’s most loyal clients, SE has played a pivotal role in Coface's international growth. Their relationship dates back to Coface's origins as a specialist in securing the political and commercial risks of French exporters. SE’s global expansion over the years became a catalyst for Coface’s internationalization, enhancing its presence worldwide.
CGS: Global risk strategy and tailored solutions
With broker AON, SE leverages Coface Global Solutions (CGS), designed to meet the needs of multinational companies. CGS combines a "glocal" strategy—global and local—in a single program, simplifying credit risk management while ensuring strong performance across regions.
As a CGS client, Schneider Electric enjoys a customized structure: a dedicated program manager and risk underwriter at the Group level, backed by local underwriting, collection, and account management teams across Coface’s 46 operating countries.
We work with Coface to secure credit risk with our clients in various geographies. Its global organisation combined with its extensive local presence fits well with the model we are looking for. In particular, we can access local risk underwriters and benefit from their assessments in underwriting decisions. The alignment between the local teams and those at Group level is fluid and facilitates rapid decision-making.
says Ghislaine Guittat, Vice President Credit Management at Schneider Electric.
Single-risk insurance: powering data center growth
Coface supports SE across Europe, North America, North Africa, Latin America, the Middle East, Africa, and Asia. Over the decades, Schneider Electric and Coface have built a strong partnership that enhances the effectiveness of SE’s trade credit insurance program.
This relationship based on trust allows us to work seamlessly with the credit managers in the different regions, particularly when it comes to explaining our decisions and approach. This ongoing dialogue between the teams helps us to manage risks dynamically. We have a better understanding of their business model and we know their clients better so that we can deliver the most appropriate credit recommendations as quickly as possible. Over time, we perfect our risk management, adapting it to SE's changing needs, so that we can offer the most appropriate solutions for cover and limit the risks as much as possible.
highlights Paul Goracy, CGS Account Manager for Coface France & Western Europe.
Since 2022, SE has strengthened its commercial risk management by introducing single-frame policies, tailored for large-scale, investment-heavy, long-term projects (24 to 36 months) like data centers. These policies simplify contract insurance with single-risk guarantees.
This solution offers standardised and very attractive terms and conditions of coverage. Our clients can also discuss complex projects on a regular basis with our Single Risk underwriters. Their specific expertise and good understanding of the mechanisms behind projects as unique as data centres enables us to stick to the growing needs of SE.
says Hélène Martin, Head of Single Risk at Coface France.
“Together with the Coface teams, we have succeeded in building a bespoke master policy that works well and is easy to manage, thanks in particular to the standardised wording and clauses. These solutions provide real added value compared with a traditional credit insurance policy. What's more, it gives us the peace of mind that you'll be with us throughout the project", notes Ghislaine Guittat.
Leveraging data for predictive risk management
As a key player in digital transformation, Schneider Electric now invests in services that go beyond its traditional business areas. The group increasingly uses data and technology to refine its analysis of partner payment behaviors and predict potential defaults.
These are two essential levers for better anticipating risks, particularly sectoral risks. We are looking to enhance our data base, for example on company mergers or on activities that could have an impact on our commercial partners. The aim is to go well beyond standard financial information, which only gives a 1-year view, whereas today we need to develop analyses and scores of the probability of insolvency one or more years ahead in order to manage risks more predictively.
explains Ghislaine Guittat.
About Schneider Electric
Established by the Schneider brothers during the 19th century, Schneider Electric emerged as a key player in the steel and machinery industry before swiftly transitioning into the burgeoning electricity sector. Today, this French multinational stands as a global leader in digital transformation, energy management, and automation, positioning itself as a digital partner committed to fostering a more sustainable future for all.
With a workforce of 150,000 employees worldwide, the Group develops innovative solutions for intelligent energy supply and integrated energy management, serving residential housing, commercial buildings, data centers, infrastructure, and industrial applications. Schneider Electric's business is structured around three core segments:
- Products (53% of Group revenue in 2023)
- Systems (28% of Group revenue in 2023)
- Software & Services (19% of Group revenue in 2023).
In 2023, the Group achieved a revenue of €36 billion, reflecting organic growth of +13%. This performance is primarily driven by its activities in North America (34%), the Asia-Pacific region (28%), and Western Europe (25%).
