Transcription
Good to see you again, Sunjong. Well, great to be in Hong Kong to do this with you.
Likewise. Hi, my name is Sun and I'm Jolin. We are here today to discuss Asia's new realities and new possibilities. The world is changing every minute. Global tensions, trade shifts, companies are facing new challenges every day. In your view, what are the new realities of doing business in Asia today?
Well, the realities of doing business in Asia today are manifold. First, trade barriers and economic uncertainties have increased certainly since the beginning of the year. The pace of technology change is unprecedented. This offers multiple possibilities for companies to use technology to improve efficiencies, but it also poses the risk of disruption to long-established business models. I've been hearing a lot about supply chain diversification and cash mobilization from our treasurers in North Asia as well. Sunjong, what should finance leaders focus on for resilience and growth?
Well, there are three things in my mind. Uh, the first is capital management. Uh, that includes access to multiple financing options and working capital efficiency. Uh, also operational efficiency, including the better use of enterprise data and third, strategy. Nowadays, CFOs and treasurers are asked to be strategic conduits for their businesses and to formulate strategy on a whole host of areas relating to supply chain reconfigurations, new business lines, new markets, new channels, all in the day's work for the modern-day CFO and treasurer.
Well, I do see that too in mainland China and Hong Kong. Companies are shifting from just-in-time to just-in-case. Like you say, reconfiguring their supply chains, spreading out their suppliers, and re-evaluating where they manufacture. Secondly, they are looking to strengthen their working capital positions with innovative supply chain financing solutions and also FX hedging to mitigate risk. Interestingly, some of the treasurers I spoke to, they are using AI and treasury robots to automate their tasks and to enhance their cash flow prediction.
So, with all these competing priorities, what is one thing that Treasury and finance leaders must act on now?
One big thing, huh? Yeah. Um, with economic uncertainty and the rapid pace of technology change, finance leaders need to pick a reliable banking partner, a banking partner that is focused on helping clients to build resilience and to enable growth. Unpredictability is the new reality. Agility is key. Finance leaders must focus on using digital tools and AI to stay nimble and to unlock the new possibilities across Asia.
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