New Path for Fintech Companies with Banking Background! CMBYC’s Scenarized Bank-Enterprise Connection Facilitates Win-Win for Business and Finance Institutions

It is reported that recently, CMB YUNCHUANG Information Technology Co., Ltd. (known as CMBYC for short), a fintech subsidiary of the world-famous China Merchants Bank, officially announced its brand positioning strategy and its Mission & Vision Statements. The company positions itself as a financial digital intelligence service provider and a platform for scenarized connections among banks and enterprises. This announcement marks that CMBYC, with its banking background, has entered a new stage of marketization. It indicates that the company is aiming at a revolutionary innovation in creating relationships between banks and enterprises, facilitating cooperation among institutions by virtue of its capability in providing digital services at enterprise level.

CMBYC was founded in 2016 and is headquartered in Shenzhen, China, where the ground is fertile for international scientific and technological innovation. Not only did CMBYC inherit the fintech genes of CMB over the past 30 years, it also has formed market-oriented business model and competence in continuous innovation. It was known that starting from March 2020, CMBYC carried out a market-oriented strategic transformation, becoming the digital service provider for enterprises as an agency of CMB. Now this fintech company provides enterprises with digital solutions and services including treasury management, scenarized cost control systems and integrated business-financial analysis tools. Geared towards to-B digital services and committed to exploiting external markets, CMBYC is unique when compared with many Chinese fintech companies with banking background, who mainly serve their parent banks and customers within the banking circle.

In the context of China offering financial support for the real economy, it is a common problem faced by both financial institutions and enterprises how to make financial resources accurately drip to enterprises who are most in need. As is known to all, traditional financial services have long been provided mainly based on credit rating of enterprises, when financial institutions innately lack detailed knowledge in the real operating status of their customers as well as ability to pay back debts. Therefore, it would be inevitable to digitize and facilitate the bank-enterprise cooperation by data mining the enterprises’ transactions and business scenarios, building ‘Scenarized Connection’ to establish further trust among banks and enterprises.

Digitization and Industrial Internet are important concepts in China’s 14th Five-Year Plan for digital economy development. As the application of digital technology in the manufacturing industry accelerates, the Industrial Internet is reshaping the ecology and stimulating the new driving force of financial services with its effective integration of industry chain flow and capital flow.

Focusing on the track of Industrial Internet, the digitized management and the closed-loop of enterprise capital flow, CMBYC creatively positions itself as ‘a platform for scenarized connections among banks and enterprises’. Currently, CMBYC has developed a product set consisting of three digital products, respectively named as ‘Group Enterprise Treasury (GET)’, ‘Scenarized Cost Control System (SCO)’ and ‘Merged Analysis Platform (MAP)”. Those digital products are accordingly designed to deal with different aspects in business operation, using edge-cutting technical tools such as Big Data, artificial intelligence, cloud computing, etc. They help enterprises dredge and understand their data flow and capital flow, thus to establish online, digital and intelligent management of capital. In the future, CMBYC will give full play to the data value of capital flow in diversified scenarios, enabling financial institutions to carry out multi-dimensional verification against other subject credit rating results, thus to enhance the insight of risk management for financial institutions. Such ‘credit enhancement’ by means of digitization can help the manufacturers become more intelligent in business and at the same time enable financial institutions to serve them better.

By virtue of unique branding advantages and flexible business model, CMBYC is now committed to becoming the innovator of bank-enterprise connections as well as creator of trust between manufacturers and finance institutions by means of scenarized approaches, opening up a new way for the connection between banks and enterprises in the era of the Industrial Internet.