How important is supply chain financing to your suppliers?

December 27, 2011  |  Electronic Invoicing, Europe, Payment, Research

This is a summary of the post originally written by Susie West of You can read her post here.

As part of a webinar Peter Lugli (Senior Director of Financial Solutions at Ariba) and Susie West asked this question: “How important is it that your service provider can offer supply chain financing to your suppliers?” to European Shared Service Centres.

They asked this questions because:

  • of the future direction of e-invoicing
  • the concept of supply chain financing (SCF) is growing steadily in the e-invoicing space.
  • Peter and Susie wanted to find out just how big-a-deal this concept was to shared services organisations.

The results and conclusions

According to Susie West the results “smacks of a maturing market”:

  • SCF functionality is central to our requirements: 3%
  • SCF functionality is important but not the key driver: 31%
  • SCF functionality is not important: 44%
  • Not sure: 22%

This shows that [quote] “the drivers for e-invoicing are changing. With the economy still weak, e-invoicing is more compelling for suppliers if they know they can get their hands on the cash quicker. And e-invoicing enables this. To the 44% that said SCF “is not important”, please can I suggest you revisit this view? It may help with supplier onboarding and may indeed make your own business case even more compelling.” 

To listen to the webinar click here

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