Finance giant Citi unveiled a new module for its Citi Interactive Solutions platform called Trade Finance Interactive Solution.
The new tool promises to help corporate clients visualise their supply chains, identifying the top suppliers and customers by spending, as well as spotting opportunities for supplier finance and receivables finance.
"Today, most companies operate on razor-thin margins. By using this assisted capability, clients will now be able to better leverage their cash flow to make more efficient funding decisions on their activities," said Matthew Frohling, Citi's regional head of Supplier Finance for Asia Pacific.
"The capability enables companies to analyse their working capital efficiency and benchmark their performance against industry peers through sophisticated visualisation and reporting tools," added Frohling.
Powered by data mining techniques, the new software helps Citi's sales managers and relationship managers to use the capability to assist corporate clients in identifying and structuring working capital optimisation programmes.
"One of the key highlights of the capability is that it arms the procurement organisation with key working capital metrics of their suppliers that allows them to make well-informed decisions," said Frohling.
While the capability is built using publicly available data to model financial benefits, clients are encouraged to provide their own data if they want a more tailored sizing of the improvements that they can make to their company's working capital, added Frohling.
While the Trade Finance Interactive Solution may be used by all industries, it provides the most visible benefits for the industrial, branded consumer, technology and chemicals sectors due to the existence of shared suppliers within their respective ecosystems. Understanding how their suppliers perform and the terms at which they sell to other companies can help clients better manage their supply chain.
"Given that regional treasury centres and, increasingly, supply chain hubs of multinationals are strategically located in Singapore, we expect the Trade Finance Interactive Solution to be used extensively here to serve the global supply chain needs of our clients," said Ravi Saxena, Citi's regional head of Treasury and Trade Solutions for Asia Pacific.
Citi's Trade Finance Interactive Solution, which took Citi Innovation Lab over 12 months to conceptualise, develop and refine in collaboration with its Treasury Advisory Group and Trade business, is built within its Citi Interactive Solutions suite.
Citi Interactive Solutions was recognised for "Innovative Use of Infocomm Technology in the Private Sector (General)" at Singapore's National Infocomm Awards in October last year. The platform addresses client queries, provides visualisation of global client portfolios, allows benchmarking of the client's treasury management health and intelligently showcases best-in-class solutions based on the client's tailored preferences instantaneously.
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