Reported by: banking|Updated: May 4, 2020
Global business analytics, research and advisory firm Praxis Global Alliance has come out with 3 design principles for re-accelerating the trade digitization journey, which has been lagging because of several factors in spite of inconveniences experienced by customers. The firm describes the 3 principles as:
The company says it believes that what demonetization did to UPI, COVID-19 can do to trade finance. “As customers will clamour for ‘contactless’ banking, this is a golden opportunity for the financial services fraternity to rise to the occasion and design and deliver a truly state-of-the-art model designed in India and for India, it argues.
Towards accomplishing this, the company has proposed a three-phase approach to re-accelerate the trade digitization initiative:
Phase 1– Research: This phase comprises two parts: the first part is to deeply understand the customer journey across types of customers and for the multitude of processes that get done for a trade transaction to fructify – ordering, inventory management, transportation, documentation, and of course payments and financing. The second part is to map the ecosystem of platforms that customers are already using for these activities so that the final solution can collaborate with these to deliver a wholesome solution for the customer.
Phase 2 – Design: The Initial part of this phase is setting up ‘garages’ to adopt a holistic and collaborative approach for design wherein all stakeholders including the customer, of course, brainstorm to put together an ideal end-to-end journey. At this point, the participants do not assume any constraints whatsoever. The following part is about putting together the actual operating model, roles of all stakeholders, areas of collaboration required, and finally, changes required to the existing policies and regulations.
Phase 3 – Propagate: This is the final phase wherein the findings are shared with key decision-makers and policymakers and once there is a buy-in, with the public at large.