Standard Chartered and Huawei are developing an internet of things (IoT) solution to help the bank make better financing decisions. The application will enable Standard Chartered to track the movement of goods on a real-time basis, and can trigger automatic financing or payment instructions.
The aim is to reduce operational risks while providing reliable data that can be used in financing decisions. Instead of corporates having to manually initiate transactions through paper-based or emailed instructions, this data could be automatically fed to their banks. Standard Chartered and Huawei are taking the technology a step further by exploring how the bank can offer smart financing based directly on the information provided through the sensors.
According to Michael Gorriz, group CIO of Standard Chartered, the technology could “change the fundamental way we do banking”. Standard Chartered will also be well-placed to identify ‘early warnings’ of potential issues that could affect the ecosystem.