Financial institutions and enterprises can now assess, evaluate, measure and monitor the credit risks of their existing and potential partners, customers as well as other third parties in a fraction of the usual time - thanks to KiM Finalysis(TM), an artificial intelligence (AI) system now available on the SME Credit Bureau portal that can generate detailed credit analysis and recommendation reports within 24 hours.
Singapore - Members of the SME Credit Bureau can now obtain in-depth financial analysis on potential partners and customers in just one day, thanks to a tie-up between InfoCredit D&B (Singapore) Pte Ltd (ICD&B), the operator of the SME Credit Bureau, and local financial and risk management specialist Evolve Maximus Pte Ltd (EM).
The SME Credit Bureau, an online platform that stores a database of small and medium enterprises (SMEs) and their credit history, went "live" in September last year. The project is a partnership between ICD&B and the Association of Small and Medium Enterprises (ASME).
Enterprises that sign up as members of the SME Credit Bureau can now log on to http://non-con.smecreditbureau.com.sg to obtain a quick diagnosis of the business and financial situation of SMEs using KiM Finalysis(TM). Within 24 hours, subscribers can acquire various analytical reports that focus on five key areas - strategic cashflow management, fund-raising needs assessment, risk-return optimisation, efficiency and productivity management, as well as business expansion readiness.
A key benefit of the KiM Finalysis(TM) system is that it enables SME Credit Bureau subscribers to systematically evaluate their partners and customers in terms of their overall liquidity and credit risk exposure. In addition, they will be able to critically evaluate the lead time for the entire cash cycle of the subject companies, and proactively minimise the occurrence of non-performing or delinquent accounts through a regular and timely monitoring process. From an enterprise-wide perspective, users can develop a more robust risk management framework through the adoption of a risk-based pricing model embedded within the system. The latter can be harmonised and specifically tailored towards the users' existing risk management framework.
KiM Finalysis(TM) is built upon a diagnostic and predictive architecture using statistical, conceptual and behavioural models. The framework utilises the thought processes and decision-making frameworks of regional top management gathered from over a decade. Besides generating detailed qualitative and quantitative financial and strategic analysis, the system also provides stress-testing scenarios and their implications on a company's financial position. The scenario-based analytics is an important gauge to assess the ability of companies' balance sheet strength to withstand systemic risks in the economy.
This service is available to SME Credit Bureau members at a discounted rate of S$80 for each analytical report.
Says Lawrence Leow, President, ASME: "This enhancement would present SMEs with a faster and more concise diagnosis of the credit information they can already access from the Bureau. With a quicker and better analysis of their business partners, both existing and potential, SMEs can now make more timely and informed decisions on their business transactions. All in all, we hope that this will help increase the competencies and competitiveness of SMEs as they operate in an increasingly more robust business environment."
Says William Lim, Executive Director, Infocredit Holdings: "This tie-up is part of our efforts to create more value-added services for SME Credit Bureau members. SME Credit Bureau subscribers can now not only access firms' credit histories but also in-depth, high-volume analysis."
Says M Nazri, CEO, EM: "Since the Asian financial crisis of 1997-1998, there has been an increasing need for businesses to adopt a more prudent and rigorous approach to managing their financial risks. Businesses need to be more cognizant of how their credit policies and business expansion strategies may have a significant impact on their balance sheet strength. Maintaining adequate liquidity levels is critical to withstanding any shocks in the economy. Through the portal, we strongly believe that users will be able make sense of numbers, helping to translate these into viable strategies with clear milestones for the firms to stay healthy and competitive." |
