While calendars fall free, why not create an SCF strategy which helps going forward.
The corona-virus and its impact on the need for Supply Chain Finance
Next to the numerous human victims, Covid-19 or the corona-virus is also affecting (financial) supply chains on a global scale by disrupting manufacturing operations. International media are full of its rapid spread and as long as the virus persists, financial reserves are getting drained. From a supply chain perspective, the collateral damage is hard to oversee.
Are companies aware of their risk exposure, knowing the virus did not reach its peak yet? How to adapt to a threat like this, which is literally disrupting global supply chains? Both now when the supply chain is taking hits, as well as when the economy picks up again in the (hopefully near) future, it is important to retain your supply chain partners’ access to finance.
If you have already started offering a Supply Chain Finance (SCF) offering to suppliers/distributors or clients, we would expect you to see a spike in current usage of these offers. However, if you have not yet started implementing such programs, now might be the right time to contemplate about what this could do for your company in the (near) future. Face-to-face business meetings are being postponed due to precautionary measures to prevent/control the spread of the virus. As a result, people are advised to work from home and calendars fall free.
Why not use this time to consider your strategic options securing your supply chain to make it less vulnerable and/or more flexible to respond to fluctuating demands? SCF might be an effective tool to consider, dealing with the above dilemmas. Implementing an SCF solutions is not going to happen overnight, especially since it is not always clear to assess your companies’ readiness for SCF.
Luckily, at Capital Chains we have developed a methodology to assess your readiness which requires no travelling for either party. We are fully equipped to work with you remotely!
Why join us for such an explorational journey? Because your supply chain deserves it! Whether your supply chain partners face obstacles today, or will have a hard time restarting production at pre-corona levels, financial burdens need to be overcome. Let’s work together in ensuring that your supply chain partners’ struggles today, do not become your problems tomorrow.
Capital Chains: “Let’s work together in ensuring that your supply chain partners’ struggles today, do not become your problems tomorrow.”
Use the newly ‘gained’ time wisely, and think about the implementation of a Supply Chain Finance program now. Wether your supply chain is best served by a standard Approved Payables Finance or Dynamic Discounting Solution, or is better served with a Purchase Order or Distributor Finance program: our SCF Readiness Quick Scan will provide you with a hands-on assessment of the SCF opportunity at hand.
By analysing your internal and external challenges (As-Is versus To-Be) based on multiple SCF parameters, we create a roadmap for the SCF implementation journey accompanied with a high-level business case. A straightforward approach based on years of experience in the SCF field, providing you with a head start in the acceleration of your SCF journey.
It is our mission to accelerate the provision and adoption of sustainable SCF solutions, now more than ever!