J.P. Morgan launches supply chain finance solution with Oracle

J.P. Morgan Payments has launched a supply chain finance solution integrated with Oracle Fusion Cloud Enterprise Resource Planning, with FedEx as an initial client implementing the technology.

The solution incorporates J.P. Morgan Payments supply chain finance functionality directly within Oracle Cloud ERP via Oracle B2B. This integration allows companies to configure the system natively rather than implementing custom solutions, reducing typical six-month development projects to a simple activation process.

Under the arrangement, when FedEx approves an invoice, vendors can choose to wait for payment on extended terms or receive early payment through J.P. Morgan Payments at financing rates based on FedEx's credit rating. This provides working capital flexibility to FedEx while offering vendors early payment options.

"Collaborating with J.P. Morgan Payments and Oracle to build a solution has been transformative for our working capital management," said Trampas Gunter, CVP Corporate Development and Treasurer at FedEx.

The functionality is delivered through J.P. Morgan Payments' Integrated Trade Finance for Oracle Fusion ERP, which was announced at Oracle Cloudworld 2024. FedEx also implemented a liquidity management strategy using J.P. Morgan's Liquidity & Account Solutions and Kinexys blockchain solutions.

J.P. Morgan Payments and Oracle have collaborated since 2022, providing services to dozens of mutual corporate clients. The partnership includes integrated banking solutions, touchless expense processing, and virtual card services within Oracle Cloud ERP.

J.P. Morgan Payments processes more than $10 trillion in payments daily across over 160 countries and 120 currencies. Oracle (NYSE: ORCL) provides cloud applications and infrastructure services.

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