Digital trade platform rich with physical & financial supply chain data creates new opportunities to fund suppliers
NEW YORK / SINGAPORE - Media
OutReach - July 23, 2020 - Infor, a global leader in business cloud
software specialized by industry, today announced that it is partnering with DBS
Bank, Southeast
Asia's largest bank, to integrate digital trade financing capabilities into the
Infor Nexus global network of more than 68,000 businesses. The two companies'
first joint program recently went live with one of the world's largest global apparel
companies, providing faster and more cost-efficient digital trade financing to
suppliers in the apparel company's supply chain ecosystem, which comprises
mostly small-to-medium-sized enterprises (SMEs).
"This
is an important relationship for Infor, where a common vision of data-driven
financing bonds us and presses us forward," said Gary Schneider, Vice President
of Sales for Infor Financial Supply Chain Management. "DBS is a digital bank,
based in Asia, focused on supplier funding and liquidity. Its pursuit of digital
innovation and delivering greater value to supply chains, combined with our
cloud-based platform and local support team around the globe, makes for a
powerful partnership at a time when liquidity is a top priority for everyone."
Sriram
Muthukrishnan, Group Head of Trade Product Management, DBS Bank, said, "We
continue to accelerate the deployment of our market-leading supply chain
financing and digital capabilities to ensure steady financing to SME suppliers
during these times of stress. Data forms
the backbone of a successful digital strategy and its impact across multiple
industries globally has been growing exponentially.
"Our
collaboration with Infor enables greater transparency into complex supply
chains and provides insights into the transaction patterns between an anchor
and its ecosystem of suppliers," he noted. "We leverage these insights to provide
quicker and more cost-efficient financing to suppliers much earlier in the
cycle, as compared to conventional post-shipment supplier financing programs.
This is especially relevant today, as we continue to operate in an environment
characterized by prolonged trade disruptions and tighter credit lines, where
optimal working capital management is key to survival."
The
two companies' next joint program for pre-shipment finance, expected to launch in
late 2020, will utilize supply chain data as the primary conduit to assess risk
and credit worthiness, as opposed to traditional models that result in the
majority of suppliers being under-funded or facing challenges to access
necessary capital. Infor provides extensive supply chain data, including
historic and real-time milestone information on the physical movement of goods,
to enable a data-driven representation of a supplier's performance and credit
risk.
According to a research report from
Aite Group analyst Enrico Camerinelli (The Supply Chain Bank, 2018), "In
the next three years, the competitive frontier in corporate lending and supply
chain finance will be the creation of innovative credit risk models that banks
will use to leverage corporate supply chain process data. Banks will capture
and analyze events in the physical supply chain (source-to-pay, order-to-cash)
in order to generate a more comprehensive and realistic representation of a
company's risk profile."
Additional Resources
Watch the SCF Community's recent webinar, "New ways to finance SMEs," during which Infor and DBS discuss innovative
supplier financing tools to help reduce supply chain risk and friction.
Media contacts:
Steve Bauer
Infor
(628) 444-5101 (office)
(650) 670-7135 (mobile)
Phyllis Tan
Infor
+65 9799 9133 (mobile)
Michelle Tan
Group Strategic Marketing and Communications
DBS Bank
+65 9770 1886
About DBS
DBS
is a leading financial services group in Asia with a presence in 18 markets.
Headquartered and listed in Singapore, DBS is in the three key Asian axes of
growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1"
credit ratings are among the highest in the world.
DBS provides a full range of services in consumer, SME and corporate banking.
As a bank born and bred in Asia, DBS understands the intricacies of doing
business in the region's most dynamic markets. DBS is committed to building
lasting relationships with customers, and positively impacting communities
through supporting social enterprises, as it banks the Asian way. It has also
established a SGD 50 million foundation to strengthen its corporate social
responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and
empowering its staff, DBS presents exciting career opportunities. The bank
acknowledges the passion, commitment and can-do spirit in all our 28,000 staff,
representing over 40 nationalities. For more information, please visit www.dbs.com.
About Infor
Infor is a
global leader in business cloud software specialized by industry. With 17,300
employees and over 68,000 customers in more than 170 countries, Infor software
is designed for progress. To learn more, please visit www.infor.com.
Infor
customers include:
- The top 20 aerospace companies
- 9 of the top 10 high tech companies
- 14 of the 25 largest U.S. healthcare
delivery networks - 19 of the 20 largest U.S. cities
- 18 of the top 20 automotive suppliers
- 14 of the top 20 industrial
distributors - 13 of the top 20 global retailers
- 4 of the top 5 brewers
- 17 of the top 20 global banks
- 9 of the 10 largest global hotel
brands - 7 of the top 10 global luxury brands
