In an era marked by economic uncertainty, companies are dealing with complex credit risks and supply chain challenges. Understanding the financial health of customers and suppliers has never been more critical.
Accurate business information is essential for making informed decisions, protecting against non-payment risks, and fostering growth.
Recent global crises – including the Covid-19 pandemic and the conflict in Ukraine – have heightened the risk of insolvency. Global commercial bankruptcy filings increased by 18% in the first half of 2023, compared to the same period in 2022 (source: Epiq Global).
There’s never been a greater need for insightful, up-to-date business information. Armed with this information, your business can safeguard its value chains and make fast, confident business decisions.
Unsurprisingly, then, the adoption rate of business-intelligence tools is rising. According to a 2024 Dresner report, 54% of enterprises with 5,000 or more employees believe that business-information tools are “critical to their current and future initiatives”.
Despite the clear benefits of such tools, many companies remain hesitant to adopt them. Often, this is due to negative perceptions around the complexity and accessibility of business information.
In a survey undertaken by Infopro Digital Études, 37% of employees said they found business information too fragmented or incomplete to work with. The reliability of the available information was questioned by 26%, while 24% found it difficult to access – and a further 16% didn’t know where to find it in the first place.
There’s a clear hunger, then, for trustworthy data delivered via user-friendly interfaces.
Accurate, current data is crucial for effective decision-making
All too often, outdated or incomplete information – a company’s annual report, for example – is used to assess financial health. To properly evaluate risk, businesses need comprehensive insights, including recent financial performance and any late-payment history.
Late payments pose a significant risk to companies. They can potentially lead to bankruptcies that affect entire supply chains. Reliable business information helps companies anticipate and mitigate these risks by providing insights into partners’ payment behaviours.
Business information meets automated decision-making
The integration of business information and data analytics into decision-making processes is becoming more prevalent – particularly in the financial sector. Using business information to automate credit decision-making processes has led to significant efficiency improvements and cost savings. According to a 2024 report from McKinsey, 37% of banks that automate these processes report a reduction of over 10% in turnaround time for SME portfolios.
Despite the benefits, the adoption of automated decision-making is hindered by challenges such as data quality assessment, skill shortages, and validation issues. But the potential for cost savings and improved risk management makes the integration of business information into these processes increasingly appealing – if not essential.
Avoiding risk and embracing opportunity
By leveraging accurate and current data, companies can make informed decisions, manage risks effectively, and ensure sustainable growth. As technology evolves, the integration of business information into decision-making processes will be crucial for maintaining a competitive edge.
With over 75 years as a global leader in trade-credit insurance, Coface’s expertise in risk management allows us to generate unique insights for our clients. Our 700 risk experts in 58 countries analyse exclusive and extensive data assets, transforming them into valuable credit information.
Coface's expertise in credit risk provides a unique perspective on global markets, enabling top credit analysts to make over 10,000 underwriting decisions daily.
As a leading credit insurer, Coface offers business-information services. These enable companies to confidently assess the financial strength and solvency of current and prospective partners.
Luckily for business leaders, our Business Information clients benefit from the same data, expertise and credit insights that underpins our trade credit insurance underwriting decisions.
What can you do with our best-in class data and insights?
- find the most reliable partners,
- explore new markets,
- spot early signals of unpayment,
- find strong prospects,
- take a competitive/business advantage,
- and drive your business growth!
We offer more than just information. We give clients over 75 years of expertise, alongside tools to guide confident decision making.
says Andrew Share, Head of Global Solutions Engineering (Business Information) at Coface
You can rely on our business information, because we rely on it too. Your risk is our risk.
Accurate, up-to-date business information helps companies make faster, safer decisions, ensuring robust risk management and enhanced growth opportunities.
To learn more about how business information is changing the way companies behave, download our free white paper, ‘Business information: a strategic priority for companies – now more than ever’ above.
