Customization and Scalability: Evaluating Supply Chain Finance Software Solutions for NBFCs

Supply chain finance software
In today’s digital era, NBFCs need to embrace state of the art technology to stay competitive. This involves adopting new technologies to enhance their offerings and services. Innovative supply chain finance software is one such tool where NBFCs can differentiate themselves from traditional banks & attract clients seeking innovative working capital solutions.

In this article, we delve into the significance of customization and scalability in supply chain finance software, exploring how these features contribute to flexibility and adaptability in today’s dynamic business environment.

Evaluating Flexibility in Supply Chain Finance Software Solutions

When selecting a supply chain finance software solution, organizations should prioritize flexibility, which encompasses both customization and scalability. Here are some key considerations for evaluating the flexibility of such solutions:

Configurability: Assess the degree to which the software can be configured to meet your organization’s unique requirements.

Look for solutions that offer flexible workflows, customizable fields, and adjustable parameters to accommodate diverse business processes.

Modularity: Evaluate whether the software is modular in design, allowing for easy integration of additional features or modules as needed.

Modular solutions enable businesses to adopt a phased approach to implementation, focusing on priority areas while retaining the flexibility to expand functionality over time.

Scalability Options: Inquire about the scalability options offered by the software vendor. Can the solution accommodate increasing transaction volumes, user growth, and expanding business operations?

Look for scalability features such as cloud-based deployment, elastic licensing models, and capacity planning tools.

The Importance of Customization

supply chain finance software

According to a 2023 Hackett Group report: 72% of businesses surveyed identified a lack of customization options as a major hurdle in adopting SCF solutions. As organizations embrace digital transformation, the ability to customize and scale such software solutions becomes paramount.

Every organization operates differently, with unique processes, requirements, and objectives. Therefore, off-the-shelf software solutions often fall short in meeting the specific needs of individual businesses. This is where customization plays a pivotal role.

Supply chain finance software that can be tailored to align with the nuances of a company’s operations provides several key benefits:

SCF Alignment with NBFC Processes

Supply chain finance software

Customization allows businesses to integrate the software seamlessly into their existing workflows. Whether it’s automating invoice processing, managing payment terms, or tracking supplier performance, tailored solutions ensure that the software aligns perfectly with the organization’s processes.

Credit Risk Mitigation: NBFCs are often exposed to a higher degree of credit risk compared to traditional banks. They need robust risk assessment practices and tools to mitigate the risk of defaults on loans and other financial products.

Supply chain finance software should be able to assess credit worthiness of borrowers with high reliability using advanced algorithms and AI.

The risk assessment can be done based on user profiles, documents submitted, social profiles and using advanced data analysis to predict defaulters.

Adaptability to Regulatory Requirements: NBFCs are subject to various regulations set by governing bodies. They need to ensure adherence to these regulations to avoid penalties and reputational damage. The SCF software should take care of the compliance needs and reports as per applicable jurisdictions.

Different industries and regions have varying regulatory frameworks governing financial transactions. Customized supply chain finance software can be configured to comply with specific regulations, ensuring legal compliance & minimizing the risk of penalties or fines.

Streamlined Processes: By streamlining workflows and eliminating unnecessary steps, customized software facilitates greater efficiency. Users can access features and functionalities that are directly relevant to their roles, reducing manual effort and accelerating tasks such as invoice approval and payment processing.

Manual tasks and paper-based workflows can slow down operations and lead to errors. NBFCs need to automate processes and leverage technology to improve efficiency.

Tailored Financial Products: NBFCs often cater to underserved segments like small and medium-sized enterprises (SMEs) and individuals with lower credit scores. They need to develop financial products tailored to the specific needs of these segments.

The financial products must be easily configurable for the NBFCs to launch new schemes, change borrowing criterion or offer specialised services to their customers.

Flexible Loan Options: Traditional banks might have stricter lending criteria. NBFCs can fill the gap by offering more flexible loan options with faster approval times. The loan types, rates, eligibility criterion and credit assessment etc. should be configurable as per the prerogative of the NBFC or financial institution using the software.

Improved Decision-Making: With customizable reporting and analytics features, businesses can derive actionable insights from their financial data. By tailoring dashboards and metrics to their requirements, stakeholders gain a comprehensive understanding of supply chain performance, enabling informed decision-making.

SCF software automates tasks like invoice processing, approvals, and disbursements, leading to operational efficiency and reduced costs for NBFCs.

Integration Capabilities: As businesses adopt an ecosystem approach to software deployment, integration with other systems and platforms becomes essential.

Scalable solutions offer robust integration capabilities, allowing seamless connectivity with enterprise resource planning (ERP) systems, procurement software, and other essential tools in the supply chain ecosystem.

For instance, seamless integration with existing NBFC loan management systems (LMS) and core banking platforms integration for smooth operational flow for NBFC management.

Data Management: NBFCs generate a large volume of data. They need efficient data management systems to analyze information, gain insights, and make informed decisions.

Whether it is marketing, demographic analysis, data driven marketing or managing operations, data management is pivotal to the needs of the organization.

NBFCs must ensure best practices for data management as they deal with sensitive financial data, robust cybersecurity measures are crucial to protect against cyberattacks and data breaches

The Power of Scalability
Supply chain finance software

Scalability ensures that the SCF software can grow alongside your business:

A study by Aberdeen Group revealed that companies with mature supply chain finance programs experience a 38% reduction in procurement costs. However, a rigid software solution can hinder these long-term benefits.

As businesses grow and evolve, their software requirements inevitably change. A solution that meets their needs today may not suffice tomorrow.

Scalability addresses this challenge by enabling software to adapt and expand in tandem with the organization. Here’s why scalability is crucial in the context of supply chain finance software:

Support for Growth: Scalable software accommodates the increasing complexity and volume of transactions as businesses expand their operations.

Whether it’s onboarding new suppliers, processing larger invoice volumes, or managing additional financing options, scalable solutions provide the flexibility to scale up without disruption.

By facilitating faster payments to suppliers and extended payment terms for buyers, SCF fosters stronger relationships between NBFCs and their clients within the supply chain.

In today’s rapidly changing business landscape, organizations need to anticipate future requirements and adapt proactively. Scalable supply chain finance software future-proofs businesses against unforeseen challenges, enabling them to stay agile and responsive in the face of market dynamics and technological advancements.


Supply chain finance software solutions, enable NBFCs to adapt to changing market conditions, support growth initiatives, and drive operational excellence.

By addressing these needs effectively, NBFCs can position themselves for sustainable growth, profitability, & a competitive edge in the financial services landscape.

Kreyon Systems empowers NBFCs with adaptable SCF software solutions that fit your unique needs, automates tasks & scales with efficiency. If you have any queries for us, please get in touch.

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