Sunson Tech Promotes Inclusive Finance Policy with its Core Value, Which Boosts Urban and Rural Area Sustainably Developing And Makes Financial Services Popular
Former the United Nations Secretary-General Kofi Annan, on 29 December 2003, said:”The stark reality is that most poor people in the world still lack access to sustainable financial services, whether it is savings, credit or insurance. The great challenge is to address the constraints that exclude people from full participation in the financial sector. Together, we can build inclusive financial sectors that help people improve their lives.” In partnership with the National Bank for Agriculture and Rural Development, the United Nations aims to increase financial inclusion of the poor by developing an appropriate financial product for them and increasing awareness on available financial services strengthening financial literacy, particularly among women. The United Nations' financial inclusion product is financed by the United Nations Development Programme.
Financial inclusion is where individuals and businesses have accessed to the useful and affordable financial products and services that meet their living needs that are delivered in a responsible and sustainable way. And inclusive finance policy is a certain policy firstly carried out by the United Nations which is defined as the availability and equality of opportunities to access financial services. Promoting inclusive finance policy states that financial services can be viewed and it can certainly possess significant positive externalities when more people and firms participate in. One of its aims is to get the unbanked and underbanked people to have better access to financial services. The availability of financial services that meet the specific needs of users without discrimination is a key objective of financial inclusion.
The term "financial inclusion" has gained importance since the early 2000s, a result of identifying financial
exclusion and it is a direct correlation to poverty according to the World Bank. The United Nations defines
the goals of financial inclusion as follows:
1．Access at a reasonable cost for all households to a full range of financial services, including savings or deposit services, payment and transfer services, credit and insurance.
2．Sound and safe institutions governed by clear regulation and industry performance standards.
3．Financial and institutional sustainability, to ensure continuity and certainty of investment.
4．Competition to ensure choice and affordability for clients.
In 2013, the Third plenary session of the 18th CPC central committee set "Financial Inclusion Initiatives" as a national strategy. At the end of 2015, the General Secretary Xi Jinping President of PRC along with the Deeply Restructuring Team members of the CPC Central Committee presided over the deliberation and approval of the Financial Inclusion Initiatives, and the state council issued the plan to promote the Financial Inclusion (year2016-2020). In recent years, facing the complex China's economic and financial situation, under the firm and right leadership of the CPC Central committee and the state council, various national sectors, local governments, market institutions and the general public have made a good start in the development of inclusive finance initiatives. At the same year, Mr. Tiger Wang who is Sunson Tech's chairman, took the initiative and asked Sunson team to start work on a set of financial kiosk that can support the government policy to improve the rural areas' banking service and start promoting it for all the banks and retailers through web advertisement, exhibitions, client meetings and video promotions.
As a matter of fact, the total number of card transactions is growing, and the number of people using bank cards is constantly increasing all over the world. POS equipment is used for daily convenience payment, top-up, repayment, and receipt receiving, most important situation is, the current financial terminals' operation model can be effectively promoted and replicated. And at present, there are many financial institutions who all want to make financial services deeper into the China remote rural area. Equipment providers and service providers are also willing to enlarge their own business scale and increase the sales numbers of financial terminal equipment in the China vast rural market. Ordinary merchants (individual supermarket owners) are willing to increase their income sources and at the same time, the majority of rural residents can obtain financial services through minimum cost (saving transportation costs and reducing lost time). Each party mentioned above reaches its own needs and requirements.
Sunson Tech is in participation to support government policy implementation. According to the United Nations Sustainable Development Goals (the SDGs) and go forward the Financial Inclusion evolution thread putted by China Government, Sunson Tech assists Chinese Government to eliminate poverty, helps the disabled people, provides decent employment chance and boosts the economic development. What the most importance is to help solving the problems for convenience finance engaged into China rural village in the last mile. Finally, it realizes the United Nations sustainable community's requirement, Sunson Tech has developed an agricultural beneficial financial terminal named POS-ATM based on more than 10 years technology experiences started to comply with the international finance and economy trend. As the impact, a series of problems such as difficulties of withdrawing money, deposit, loan approval, employment of the disabled person issue, timely access to policy information issue, and the release and promotion of agricultural products issue, have all been solved through this low-cost agricultural beneficial financial terminal. The Sunson POS-ATM has become a comprehensive information service station. In addition, Sunson POS-ATM brings its four partnerships including banks (financial institutions), merchants (equipment operators), the equipment service providers and the terminal users in one new business model. This win-win model will be described in the diversity of the case.
POS-ATM, which is the agricultural beneficial financial terminal developed by Sunson Tech, as the core management terminal of the financial device, and also it can control the cash-out movement in device's hardware configuration, realizing the cash withdrawal function. With the advantages of Sunson Tech and Unionpay business market, POS-ATM has been deployed into China vast rural areas, covering 337 prefecture cities, nearly 5,000 units implemented in 3 years. Sunson Tech has made efforts to build the "Last Mile" project to bring technology innovation and convenience finance engaged into China rural area, actively implementing the national strategic principle of inclusive finance Initiatives. Adhered to the market positioning of serving agriculture, rural areas and farmers, serving small and medium-sized enterprises and serving communities, Sunson Tech consciously assumed the corporate social responsibility of promoting urban and rural development and benefit to the people. In addition to meet the basic financial needs of the cardholders' daily small cash withdrawal, transfer, balance inquiry, etc., it can provide mobile phone recharge service, credit card repayment service and other convenient payment service. Customers can also complete micro-finance, insurance, financial feedback, water and electricity coal payment, agricultural subsidies, rural medical and other value-added services. It is really the benefit to farmers business with this POS equipment. Furthermore, Sunson Tech mainly cooperates with agricultural financial institutions who help farmers through this equipment project, which both beneficial to Sunson Tech's brand building and make itself's corporate social responsibility. Those banks include Bank of China, China Agricultural Bank, China Construction Bank, China Postal Savings Bank, China Unionpay (CUP) and China UMS. In this partnership, Sunson Tech mainly cooperates with China UMS. The UnionPay business has a large number of ordinary merchants and high-quality POS merchants, through which they can quickly carry out product layout and service promotion. The cooperation model of Sunson Tech is mainly providing POS end-to-end system maintenance service for China UMS, providing the location or other choices for merchant to choose agricultural aid equipment, also providing account clearing and payment service for merchants (agents). Then the merchant provides the place where the machine can be deployed, and is responsible for the daily banknote and equipment management, the merchants also responsible for guiding the customer to operate it. The equipment manufacturer (Sunson Tech) is responsible for the manufacture of financial convenience terminals, equipment maintenance and complaint handling work, if any. In this way, it successfully solved the cost waste problem for central banks to locate, build branches and provide the hardware with software operation system for each branch. With the POS-ATM produced by Sunson Tech, it fulfills the desires that merchant can be also a bank, owing to bank's functions can be replaced by one simple POS-ATM terminal. Sunson Tech "Last Mile" project brings technology innovation and convenience finance engaged into China rural area.
“Culture represents the totality of everyday knowledge that people use habitually to make sense of the world around them through patterns of shared meanings and understandings passed down through language, symbols, and artifacts.”(Clegg, 2011:216) Organizational culture is one of the concepts that is important for the functioning of an organization, but that at the same time is difficult to define or explain precisely. At the starting period of Sunson Tech, all employees working in Sunson focused on pursuing success on the material level and neglected the corporate cultural building, the Sunson team quickly transferred itself into a fast troop equipped with both good products and high-efficiency, but lacked of emotion. Even some old employees working in different departments whom have joint Sunson Tech’s team years ago communicating through emails everyday don’t know each other face to face. Then the top managers realized this weird situation finally, actively organized much team collaboration events, such like countdown party, making traditional Chinese rice-pudding during the Dragon Boat Festival, lead one team of Sunson Tech colleagues making donation to the poor farmers living in China remote rural areas. But the most meaningful and typical milestone is still the Sunson R&D team worked out that certain kind of agricultural beneficial financial terminal named POS-ATM, through this corporate social responsibly performing stage and brand awareness building procedure, Sunson Tech both achieved much social respect and gained much profit. This action made Sunson know the most essential factors for one successful organization is not only good productions and services with high qualities any more. In recent years, increasing public attention have been paid on the Corporate Social Responsibilities(CSR). Sunson Tech strongly agrees that corporate social responsibilities policy functions as a self-regulatory mechanism whereby a business monitors and ensures its active compliance with the spirit of the law, ethical standards and national or international norms. In the Sunson Tech’s inner system, there puts some talent business policies related to the business ethics which both restrict the Sunson Tech’s self-regulation, level up the brand awareness and improve the Sunson Tech’s brand reputation. Sunson Tech’s core business value leads to support the improvement of the partners in those countries' economic resources, human resources and knowledge bidirectional flowing and exchanging, even it is beneficial to the two national capitals combining together and different culture mixing. Making corporation relations with these foreign enterprises both accelerate two participating countries GDP growing and strengthen the financial and economical foundations of theirs. Not only both Sunson Tech value but also Sunson Tech’s customer based in-countries distribution have a high sense of diversity, so do the product and service operation model.
Like an invisible and intangible hand which draw Sunson Tech into a right orbit, the corporate social responsibility(CSR) plays a very great role in leading the corporation’s management. The low-level employees were guided by the high-level, high-level guided by the top-level, and the entire Sunson Tech lead, supervised and protected by the business ethics. Recently, as Sunson Tech proved its credibility and give the trust in its kinds of products, China’s government has renewed that trust and assigned a new project to Sunson using the remaining partnership with Unionpay to provide cash counter kiosk to facilitate the cash withdraw transactions for the small retailers which Sunson Tech domestic team working on it now. Meanwhile, Sunson international sales and marketing team used the extensive experience of the research & development team to predefined a set of standard products than follow Sunson vision and allow Sunson Tech to expand the international markets. As a saying putted by Clegg,S, the organizational culture is come from the combining of philosophy of organization’s founder, selection criteria, top management, performance and socialization of the organization (Clegg, 2011). (2045words)
Clegg, S., Kornberger, M., & Pitsis, T. (2011) Managing and Organizations: An Introduction to Theory and Practice. 3rd edition. London: Sage.