The table below illustrates the areas of benefit for TradeCard buyer members - measurable metrics and tangible
examples of the TradeCard impact.
| Improve Financial
Process Efficiencies |
| Benefits of TradeCard |
Visibility into Procurement to Settlement |
| Metric of measurement |
Time to close books |
| Example |
Close books 5 days faster |
| Benefits of TradeCard |
Visibility into A/P process |
| Metric of measurement |
Reduce working capital |
| Example |
Eliminate working cash buffers without risking embarrassing negative cash balances |
| Benefits of TradeCard |
Coordinate workflow and management among trading partners |
| Metric of measurement |
Time to manage trades |
| Example |
Make 40% fewer phone calls and spend 5 hours less management time per transaction
|
| Benefits of TradeCard |
Automate manual processes; eliminate expensive labor intensive and error-prone tasks |
| Metric of measurement |
Trade managed per employee / mistakes per employees / Number of incorrect payments |
| Example |
Manage 35% more transactions per employee. Reduce mistakes by 90% |
| Benefits of TradeCard |
Improve communications and decision making |
| Metric of measurement |
Time to gather data |
| Example |
Cut time to gather data from 2 hours to 2 minutes
|
| Benefits of TradeCard |
Reduce cost of payment transactions |
| Metric of measurement |
Cost per payment |
| Example |
Reduce manual checking of payment information and reduce the number of paper checks issued |
 |
| Realize Real Time ROI |
| Benefits of TradeCard |
Benefits outpace fees through usage based
pricing model |
| Metric of measurement |
Transaction cost as % of total purchase |
| Example |
Cut transaction costs from 1.25% of total
to 0.30% |
| Benefits of TradeCard |
Leverage existing infrastructure: No hardware; no software |
| Metric of measurement |
Dollars invested |
| Example |
$0 for hardware. $0 for software. Start
up costs are less than one MBA summer intern |
| Benefits of TradeCard |
Reduce external fees and charges |
| Metric of measurement |
% of fees as a percentage of procurement |
| Example |
Cut external fees from 0.50% of procurement to 0.10% |
|
| Optimize
cash flow and balance sheet |
| Benefits of TradeCard |
Eliminate or turn credit lines more quickly |
| Metric of measurement |
Turns per credit line |
| Example |
Improve credit line turns from 3 per year
to 6 per year |
| Benefits of TradeCard |
Extend credit through supply chain using our partners |
| Metric of measurement |
Transactional fees paid by buyer and seller |
| Example |
Buyers and sellers reduced fees up to 100% |
| Benefits of TradeCard |
Earn discounts by offering suppliers early
payment programs |
| Metric of measurement |
% of procurement |
| Example |
Cut 2% of procurement through early payment
programs |
| Benefits of TradeCard |
Extend DPO / Positively impact cash conversion cycle |
| Metric of measurement |
Days Sales Outstanding. Cash conversion cycle days |
| Example |
Extend DPO to 45 days, cut cash conversion cycle 15 days |
Drive efficiency in your trade management operation. Plug leakage from first costs. Optimize cash flow and gain
greater control over your extended supply chain.
