Home News API technology and digital ecosystems are key to circular economy and sustainable supply chains, reveals Commerzbank whitepaper

API technology and digital ecosystems are key to circular economy and sustainable supply chains, reveals Commerzbank whitepaper

by wrich
31 views
gawdo
  • The paper highlights how aggregating complex data from various sources is  fundamental if corporates are to meet sustainability targets 

LONDON & FRANKFURT: Commerzbank has released a comprehensive whitepaper that  explores the potential of application programming interface (API) technology to encourage  collaboration and facilitate sustainable supply chains through digital ecosystems, positioning  businesses to adapt to the sustainability focused landscape. 

The whitepaper, titled How API based ecosystems can serve circular economy”, looks at the  role of APIs as facilitators of data exchange and how this technology can be deployed by financial  institutions – and their clients – to enable more sustainable business models. It explains how, by  aggregating complex data from various sources, APIs can provide the building blocks for solutions  such as digital ecosystems. This method of data distribution is crucial, reveals Commerzbank, if  corporates are to meet their sustainability targets, comply with regulators, and transition to a more  circular economy.  

The paper highlights the immediate need for API-enabled digital ecosystems, stating: Ecosystems  based on APIs are going to be integral in the transformation from traditional economy models into  new business models, as they are founded through collaboration. They will not only allow for  sustainable services but also the reusing and sharing of already established competencies and  services between participants – as in a circular economy business model. 

“We are convinced that the challenges of today cannot be solved alone. We all need to collaborate  to develop circular business models embracing the idea of true sustainability,” said Christoph  Berentzen, Head of API Banking at Commerzbank. “Banks have always been committed to  answering clients’ evolving financing needs with the right lending products and we are now seeing  demand for embedded finance services – supplementary services to development such as digital  ecosystems. This is something Commerzbank is currently working on and prioritising in our API  banking cluster, and we are looking to offer more and more open banking solutions.”  

Alexander Pawellek, Principal Product Owner responsible for digital innovation and strategy in  trade finance at Commerzbank added: “Currently, market players all hold valuable data, but the system landscape is fragmented. The timely sharing of relevant information would deliver cost and  time savings while also opening up new business opportunities. Such a solution is not created  overnight – it is established by taking small, concrete steps.”  

With this in mind, Commerzbank has also developed a prototype digital ecosystem, the  Sustainable Supply Chain Platform, to provide a working example of how APIs can best be  applied to solve sustainability reporting challenges with supply chains. The aim of the prototype is  to bring together partners from trade and sustainability finance to identify potential synergies. The  platform will allow ESG ratings providers, for instance, to share data on the ratings of certain  suppliers. Using the API-enabled platform, buyers would be able to instantly assess whether their  own supply chain is a sustainable one.  

To learn more, or to get involved, visit: developer.commerzbank.com/ 

www.gawdo.com

You may also like