Source: BB&T Corporation
BB&T Corporation (NYSE: BBT) today introduced BB&T SupplyChain360, an integrated financial supply chain management service that connects buyers and suppliers around the world.
That connectivity creates efficiency in the financial supply chain from procurement to payment and greater visibility for a buyer and its suppliers, BB&T officials say. It also integrates other BB&T financial products and services into the supply chain.
The new service debuts at a time when the volume of trade around the world continues to rapidly escalate. Global trade volume is expected to grow to $17.5 trillion this year, an increase of nearly $15 trillion since 1986.
With BB&T SupplyChain360, both buyers and their suppliers will have direct access to working capital so that they can finance their supply chain operations in step with the physical production and transportation of goods, reducing both cost and risk and improving efficiency.
Buyers and suppliers will have on-demand views of their financial supply chain from the purchase order all the way through to the invoice settlement.
"BB&T SupplyChain360 is the result of collaboration among several divisions at BB&T to come up with a new solution that combines traditional banking tools with innovative new products - all through a common electronic platform," said BB&T Operations Division Manager Leon Wilson.
"With this new integrated service, we'll have complete access to our clients' supply chain transactions - whether through a letter of credit or executed directly through open-account terms - so we can identify opportunities to offer risk management, supplier financing and payment processing services."
Companies earning $1 billion in annual revenue can expect to free up $10 million to $40 million a year in working capital "with better control of their basic (international) trade processes," according to the Aberdeen Group, a global research firm.
With BB&T SupplyChain360, buyers and suppliers can submit purchase orders, invoices and other documents in paper or electronic format. Powered by technology from GXS, BB&T SupplyChain360 then converts the paper documents and electronic data into a single format for integration into a buyer's purchasing system.
By capturing the lifecycle of the transaction and connecting the physical and financial supply chain, BB&T can offer clients both traditional and newer payment and risk management tools, as well as innovative trade finance programs.
"Clients want to make the most of their working capital and improve efficiency by using technology to streamline operations and provide more visibility into the supply chain," said BB&T Specialized Lending Manager Clarke Starnes. "BB&T SupplyChain360 helps them meet those important goals, manage their risk, and integrate finance and payment tools."