There is a growing need globally to digitise and integrate financial supply chains. However, the digitisation of supply chains has happened at various speeds and across various platforms, causing a new issue for corporates and their suppliers and customers around the world.
One of those key developments is the need to make financial supply chains as integrated as possible within the various supply chain platforms in use across the globe. According to Michael, it’s not just about adding finance into an existing platform. It’s also about integrating payments, financing and foreign exchange services directly into one place.
“We see platforms such as SAP as being able to bring all the services together under one platform. This provides an opportunity to provide a seamless and simple solution for corporates – instead of multiple connections,” adds Michael.
Another is reaching the final layer or final mile of suppliers in an ecosystem. Michael’s view is that in order to be able to reach that last mile we need visibility, information and data to underwrite that risk, and new technology has the ability to provide that.
Tokenisation via blockchain is one solution that can solve that obstacle, as it allows banks such as Standard Chartered to ensure traceability at all levels with tokens, which are authenticated using blockchain.
To hear more from Michael and Falk, please view the videos below.
Evolution of the trade ecosystem
For decades physical and financial supply chains have operated separately but recently they have started to merge, creating new opportunities.
SAP Ariba and Standard Chartered – a dynamic collaboration
In July 2019 SAP Ariba and Standard Chartered announced a new collaboration to provide an integrated solution for suppliers and buyers.
New era of technology in trade
Technology has developed in recent years to become a key enabler for new trade solutions and importantly finance solutions.