Continues to execute against strategy to build regional GTS franchise; groundbreaking deal with Dairy Farm Singapore may benefit thousands of companies
DBS Bank today announced that it has entered into a supplier financing programme with leading retail group, Dairy Farm Singapore, the first such programme for the retail industry in Singapore. This groundbreaking supply chain financing initiative also underscores DBS’ leadership in providing working capital solutions for enterprises across Asia.
The supplier financing programme is an innovative working capital solution which will deliver efficiencies in the end-to-end process of the supplier to buyer operating model. DBS has worked with Dairy Farm to customise a programme that will provide significant financial benefits to its suppliers and deliver a more efficient and secure process to support the supply chain. Dairy Farm operates 818 retail stores in Singapore under the well-recognised brand names of Cold Storage, Market Place and Shop N Save supermarkets, Giant hypermarkets, Guardian Health and Beauty chain and 7-Eleven convenience stores. As one of the biggest retail chains in Singapore, Dairy Farm also operates one of the most complex producer to consumer business models with its large supplier network encompassing an enormous range of individual products.
The supplier financing programme is another of DBS’ new and innovative products designed to support its customers by increasing cash flow and reducing operational expenses. DBS is in the process of launching similar supply chain financing programmes across China, Hong Kong, Indonesia, India and Taiwan.
Mr. Vijay Vashist, Managing Director, Global Transaction Services (GTS), and a seasoned banker specialising in trade and supply chain financing globally, said DBS is poised to grow this business segment aggressively through delivering a full suite of supply chain solutions for suppliers and distributors across Asia.
“DBS recognises the growing trend of supply chain financing in the market and the need for innovative working capital solutions that could strengthen the supply chain relationships between our valuable corporate customers and their suppliers. We are proud to be the first Singapore bank to offer this solution comprehensively. Our programme, jointly developed with Dairy Farm, is exciting and unique in both its scope, and depth of positive impact it will have for their thousands of suppliers. The successful roll-out of this programme with Dairy Farm in Singapore will set the stage for us to broaden the scope of our co-operation with Dairy Farm in other markets,” said Mr. Vashist.
“Supply chain financing is a strategic initiative that DBS has developed over the last 12 months to tap into the unique competitive advantage of the bank: our established client base of over 100,000 customers ranging from large MNCs to local SMEs provides a huge opportunity for us to expand distribution of this new programme in the immediate future,” said Mr. Tom McCabe, Group Head of GTS at DBS. “Intra-Asia trade is now growing at nearly six times the rate of trade between Asia’s traditional partners of the US and Europe, and DBS’ footprint across Asia will allow us to serve customers in all our key markets."
DBS - Living, Breathing Asia
DBS is a leading financial services group in Asia, with over 200 branches across 15 markets. Headquartered and listed in Singapore, DBS is a market leader in Singapore with over four million customers and also has a growing presence in the three key Asian axes of growth, namely, Greater China, Southeast Asia and South Asia. The bank's strong capital position, as well as "AA-" and "Aa1" credit ratings that are among the highest in the Asia-Pacific region, earned it Global Finance's "Safest Bank in Asia" accolade for three consecutive years, in 2009, 2010 and 2011.
DBS provides the full range of services in consumer, SME and corporate banking activities across Asia and the Middle East. As a bank born and bred in Asia, DBS also understands the intricacies of doing business in the region’s most dynamic markets. This market insight and regional connectivity have helped to drive the bank’s growth as it sets out to be the Asian bank of choice. The bank believes that building lasting relationships with its customers is an integral part of banking the Asian way.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. The bank acknowledges the passion, commitment and can-do spirit in all of our 18,000 staff, representing over 30 nationalities. For more information, please visit www.dbs.com.
About Dairy Farm Singapore
Dairy Farm Group has strong roots in the community with a 108-year history in Singapore. It is the market leader in retail with some 9,000 employees and 818 stores islandwide. Over the past century, each of its retail banners has played a vital role in shaping the retail scene and consumers’ lifestyles in Singapore. These banners – Cold Storage, Market Place and Shop N Save supermarkets, Giant hypermarkets, Guardian Health and Beauty and 7-Eleven stores – are trailblazing household names in the retail industry. Dairy Farm Singapore is part of public-listed Dairy Farm International, a pan-Asian retailer that operates renowned retail businesses including supermarkets, hypermarkets, health and beauty stores, convenience stores, home furnishings shops and restaurants.