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How Supply-chain Finance Breaks out of Manufacturing Predicament

2017-11-17 16:33:32

- ICBC, DeTao Group and Key Manufacturing Entrepreneurs of Guangdong Province Hold Closed Salon
 
A closed salon on “How Supply-chain Finance Breaks out of a Manufacturing Predicament” successfully took place in Hengyuanya Banquet Hall of Hengyuan Museum of Guangzhou on the afternoon of 16 November 2017. Co-organised by DeTao Group, Industrial and Commercial Bank of China Limited (ICBC) and Guangdong Council for the Development Promotion of Small and Medium Enterprises, the event was attended by entrepreneurs and senior management from core businesses of sub-industries and independent B2B platforms.

Special guests at the event included Xie Hong, executive president of Guangdong Council for the Development Promotion of Small and Medium Enterprises; Zeng Qi, general manager of Settlement and Cash Management Department at ICBC Headquarters; Xie Zhong, deputy director of ICBC Guangdong Branch; Eden Han, vice president of DeTao Group; Zhu Jianyang, vice president of Ginkgo; Tang Liang, deputy general manager of Trade Bank Centre at ICBC Headquarters; and senior officials at Foshan and Dongguan Branches of Guangdong Branch of ICBC Headquarters.
 

The event
 
Speeches from the organisers
The event kicked off with speeches from the organisers, which were given by Xie Hong, executive president of Guangdong Council for the Development Promotion of Small and Medium Enterprises; Eden Han vice president of DeTao Group; Zeng Qi, general manager of Settlement and Cash Management Department at ICBC Headquarters; and Xie Zhong, deputy director of ICBC Guangdong Branch.

Xie Hong, executive president of Guangdong Council for the Development Promotion of Small and Medium Enterprises, expressed that the council shared a number of ideologies with its partner DeTao: “In the age of the Internet, with the help of big data and through business and industrial collaboration, entities are integrated and credit becomes flatter and more digitalised and transparent, which are critical to solving financing issues that face small and medium-sized enterprises.”

Xie expressed his gratitude to DeTao Group and ICBC for visiting Guangdong to engage in a dialogue with local manufacturers. He hoped that with the help of DeTao’s network and ICBC’s financial support, the competitiveness of the businesses would be fortified, which would in turn share and further promote their development.
 

Xie Hong, executive president of Guangdong Council for the Development Promotion of Small and Medium Enterprises, delivering a speech
 
In the next speech, Eden Han, vice president of DeTao Group, remarked that DeTao hoped to engage in further communication with the entrepreneurs and seamlessly combine the development of the latest financial innovation and digital economy with that of globalisation.

Han’s speech was followed by those from Zeng Qi, general manager of Settlement and Cash Management Department at ICBC Headquarters, and Xie Zhong, deputy director of ICBC Guangdong Branch. Zeng stated that as Internet technology continued to evolve and the sharing economy continued to develop, large enterprises such as ICBC must also consider how to serve more businesses with better and faster means through better collaboration. That is why ICBC chose DeTao Group as its partner.

Zeng also elaborated on the vision for collaboration between ICBC and DeTao Group. She mentioned that DeTao served businesses and, with its globalised proposals, offered businesses design consultation, designed innovative internationalised products and created long-lasting core competitiveness. Financial services were offered to businesses through collaboration with Ginkgo and banks. Based on that as stated above, ICBC chose to collaborate with DeTao in the hope of complementing each other and helping businesses to live up to their values and perpetuate success. 
 

Zeng Qi, general manager of Settlement and Cash Management Department at ICBC Headquarters, delivering a speech
 
Xie Zhong, deputy director of ICBC Guangdong Branch, also mentioned that as a branch of ICBC Guangdong Branch in Guangzhou, the division had always been committed to offering supply-chain solutions to businesses in the province. Clients’ needs were satisfied through continuous innovative means and sincere services offered to businesses.

Engaging keynote speeches
Following the addresses from the organisers, the engaging keynote speeches marked the culmination of the event.

Han Yi, vice president of DeTao Group, delivered a keynote speech on “How to create a smart global supply-chain platform for manufacturers”. He vividly explained the details of the smart supply-chain platform that DeTao wished to create based on new concepts and how it would integrate resources to connect good ideas and products with global supply-chain systems, which would in turn bring manufacturers and the world closer.

Han proposed connecting the entire supply-chain system with the Internet, enabling every industry to swiftly connect with more banks and industries on the online platform. He also elaborated how DeTao had introduced the finest services of the industry and the world to businesses using the Internet, as it combined the existing supply-chain system through financial and design innovation and the product innovation system. This comprehensive chain offered businesses globalised solutions, from core businesses, supply-chain service platforms to financial innovation services for products and smart supply-chain systems.

Smart supply-chain platforms may serve as the risk management for businesses, supply chains and banks while offering the most authentic data support. Under the widespread supervision of risk management, data becomes an asset to the platform and businesses along the supply chain.
 
Han described a scenario of the smart supply chain, whereby product needs quickly travelled through supply-chain coordination and industries with the help of data and artificial-intelligence matching to arrive at a solution. Product financing meant co-funding and -incubating, while product competitiveness in the industry was elevated right from the manufacturing process to the marketing ends. Business product exchange would engage with the market, and product design and service exchange might be monitored through banks. Collaboration with banks meant the ability to directly distribute wealth products to markets and individuals, meaning product investors would be both the beneficiaries and the users of products in the future.
 

Eden Han vice president of DeTao Group, delivered a keynote speech titled “How to create a smart global supply-chain platform for manufacturers”
 
Zhu Jianyang, vice president of Ginkgo, delivered a keynote speech on “Providing supply-chain trade a technological support platform”. He explained the Internet might be leading to the next major trend, that is, how to transform it into a complex connection model from a single website.

Ginkgo has accomplished two objectives for the Internet: one is interconnection, which connects every participant with the help of a new model, be it businesses, banks, customs and logistics; the other is ensuring liquidity, whereby issues involving discrepant information and funds are solved through different collaborative means and banks and similar institutes.

Ginkgo solves the issues of supply chain and its financing through the achievement of two objectives as supported by interconnection and liquidity: one is how to widely and effectively establish global trade relations and the other is how to efficiently and reliably achieve business and financial interaction.
 

Zhu Jianyang, vice president of Ginkgo, delivered a keynote speech on “Providing supply-chain trade a technological support platform”
 
Experts from ICBC offered various solutions and showed entrepreneurs how financial innovation combines with businesses. They also elaborated on the three platforms of ICBC: first is a global cash-management platform targeting major clients, which offers corporations comprehensive financial services that are professional and customised; second is a platform for small and micro-sized enterprises, which offers comprehensive, agile and efficient financial services; and third is a converging platform that allows core businesses to communicate with their industry chain, while the comprehensive services of ICBC create a more efficient channel for financial services, thus bringing core businesses together with their industry chains.

Interactive Q&A
More than two hours later and following three engaging keynote speeches came the Q&A session. The entrepreneurs posed a series of key questions, which Han Yi, vice president of DeTao Group, and senior officials of ICBC answered in detail.
 

An entrepreneur posing a question
 

Eden Han, vice president of DeTao Group, taking questions from entrepreneurs
 

An ICBC expert answering questions from the entrepreneurs
 

An ICBC expert answering questions from the entrepreneurs 
 
A one-to-one dialogue marked the end of the event, where entrepreneurs discussed in detail a number of confidential and collaboration issues with senior officials from DeTao Group and ICBC.

Finally, the event successfully concluded as guests toasted to one another.

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