d.risk™ : taking advantage of physical supply chain triggers
One of the most exciting aspects of the merging of physical and financial supply chains is the ability to trigger settlement activities off a much richer set of milestone events. Traditionally a company might use a supplier's order acknowledgement or advanced shipment notice and a warehouse receipt from the company's distribution centre as milestone triggers. However once a firm establishes a backbone for physical supply chain visibility that same backbone can be used to trigger payments against as many as 40 milestone events.
This is the potential that EZD's d.risk™ process unlocks: enabling our funding partners and customers to take advantage of these physical supply chain triggers as opportunities to apply pre-, in-transit, or post-shipment inventory financing, discounting, or payables extensions.
To achieve this the d.risk™ process extends from the earliest stages of the identification selection and vetting of fundable supply chains to the proactive supervision of the shipment and payment phases. Proactive supervision of the physical supply chain by people able to interpret the consequences of events ensures that after the trigger points any disruptive events that occur are managed to ensure that the consequential financial risks do not exceed acceptable limits agreed by the funding partners during the prior stages.
The d.risk™ technology platform delivers the process automation and data integration capabilities to support the required tight co-ordination of logistics and finance activities and decisions throughout the supply chain. Furthermore its advanced functions facilitate a process of continuous improvement aimed at reducing the occurrence and impact of supply chain disruptions to the benefit of all.
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