TCS' Trade Finance Services

www.tcs.com

Banking, Financial Services and Insurance

TCS BFSI Cognitive Business Operations (CBO) has one of the largest Trade Finance domain experts in the third party outsourcing space. Over the past two decades, TCS has partnered with multiple clients to successfully complete millions of complex & time-

critical transactions under challenging business and operating environments. Our end-to-end operation services, deep domain expertise with CDCS certified associates, change management experts, CBO & IT partnership coupled with Cognitive assets TraDAA© (Trade Finance Digitization, Automation & Analytics) has put us in a unique position to support commercial banks across the globe achieve cost targets, quick scalability, strengthened regulatory controls, and enhanced customer experience. TCS is preparing for the future with Trade Marketplace powered by TCS Business 4.0TM, we have embarked on a journey to create Blockchain for Trade Finance, which will create exponential business value for the clients.

Overview

Trade finance area is plagued by operational inefficiencies, with over 80-90% of processes being manual and paper based. Most of these also require inputs from highly-skilled subject matter experts. Factoring in the continued maintenance of near-obsolete legacy systems the businesses see escalating operating costs and dipping margins.

Trade Finance also functions in a dynamic and stringent regulatory environment. Failure to comply can lead to monetary losses and reputational damage. There is constant effort towards automation, reducing operational cost, eliminating

errors, and improving customer experience (CX). Further, due to the lack of proficiency in data reporting and analysis, banks are unable to effectively detect revenue leakage and identify new revenue-generating customer segments. Additionally, there are challenges in retaining talented personnel, maintaining quick turnaround times (TAT), and ensuring

superior service delivery.

TCS offers a bouquet of services leveraging our domain knowledge, operations experience, in-house academy of trade finance to build intellectual capital, technological expertise, cognitive assets, experience in process optimization, and in-depth understanding of the regulatory landscape. TCS’ end-to-end operations services, CBO & IT partnership coupled with TraDAA© help commercial banks enhance customer experience, improve employee productivity, optimize costs, strong

fraud control mechanisms and reduce compliance risks.

SolutionTCS’ comprehensive portfolio spans the entire gamut of Trade Finance

• Transaction Processing: TCS performs transaction processing, customer service for letter of credit, collections, opening of accounts, guarantees, standby letter of credit, Commodity LC, Supplier Financing, loans and activities like Issuance, Advising, Confirmation, Document Checking, Payment, Compliance, Reports & Reconciliation

• Domain consulting: TCS’ domain and transformational experts provide services on benchmarking, operational efficiency, to-be

process maps, transformational opportunity and digital roadmap

• Change management: Services offering support for IT platform roll-outs, business/functional requirement documents, business analysts, UAT services, project management, and enterprise support services

• Cognitive Assets: TCS’ TraDAA© Cognitive framework covers smart wrapper, cognitive OCR

automated document checker, automated disambiguation rule engine, automated email clearing and advanced analytics solution.

Extensive work is also underway to create Blockchain for Trade Finance

Trade Finance Product

Offerings

The TCS Advantage

By partnering with TCS banks stand to gain from the following differentiators:

§ Domain expertise: TCS’ 20+ years of experience, domain expertise with CDCS accreditations, specialization in ICC guidelines, CoE and the sustained banking engagements with global, large and midsized banks across geographies have placed us in a unique position to efficiently manage the entire trade finance lifecycle

§ Delivery excellence & Risk Management: Our continued focus on execution, rigor in operations, talent acquisition, retention and global delivery network models (GNDM™), ability to replicate and create uniform processes across global sites with multiple languages help deliver excellence and quick ramp-up

§ Training: Over 10 years of experience successfully conducting the Trade Finance Domain Academy for building intellectual capital of the associates helps TCS achieve excellence in Trade Finance

§ IT-CBO synergy: TCS’ market leadership in providing CBO and IT services brings domain experts, business analysts, consultants across operations and IT on the same platform, leading to quicker IT-enabled solution delivery

§ TraDAA© is a unique suite of solutions built on the TCS principles of Business 4.0 and Machine First Delivery Model™. It leverages the existing ecosystem of the bank without any major platform changes. TraDAA reimagines Trade Finance business landscape and has the ability to catapult the bank to market leader position.

Benefits

Over the years, TCS have delivered significant value beyond labour arbitrage for their customers. Here are a few examples:

§ Over 40% cost benefit for a European Bank in Trade Finance through consolidation, process reengineering, automation & implementing Cognitive assets

§ Up to USD 3 million in potential savings in operational costs by leveraging benchmarking, standardization, and automation

§ Over 25% FTE productivity savings and ~15% TAT improvement for a US Bank by functionalization, standardization, platform optimization, and automation

§ Over USD 20 million worth of fraud and sanction risks averted by implementing robust controls, adequate systemic checks, training and introducing checklist to monitor exceptions

§ TCS’ 50+ Change Management FTE’s leveraged for business analysis, UAT, and operational readiness for migrating trade product processor with 2,000 users in 70 countries for a large US Bank leading to benefits of data migration for 5,000 transactions without any business impact

• Issuance• Advising & Confirmation• Transferable LC

• Document Checking • Refusals & Acceptances• Discrepancy Management• Negotiation & Discounting• Payments & Reimbursements

• Document Handling• Payment• Shipping Guarantee /

AWB releases• Avalisation• Pre & Post Shipment Loans

• Issuance & Amendments

• Demand Claims

• Extensions• Closures• Commissioning• Support in Drafting

• Commodity LC• Receivable Finance • Supply Chain Finance

• Factoring • Risk Participation &

Syndication

Letter of Credit

Documentary CollectionsGuarantee & SBLC

Special Products

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Awards & Recognition

To know moreVisit the Banking, Financial Services and Insurance page on tcs.comEmail: bfsi.marketing@tcs.com

About Tata Consultancy Services Ltd (TCS)

Tata Consultancy Services is an IT services, consulting and business solutions organization that delivers real results to global business, ensuring a level of certainty no other firm can match. TCS offers a consulting-led, integrated portfolio of IT and IT-enabled infrastructure, engineering and assurance services. This is delivered through its unique Global Network Delivery ModelTM, recognized as the benchmark of excellence in software development. A part of the Tata Group, India’s largest industrial conglomerate, TCS has a global footprint and is listed on the National Stock Exchange and Bombay Stock Exchange in India.

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