Customer success story
How a Global Fortune 500 corporation clears low-risk suppliers in minutes.
Background
A Fortune 500 multinational's slow supplier onboarding process inhibited its ability to meet revenue targets. Each year, thousands of suppliers pass through the system. But it took weeks and months to clear them, which frustrated stakeholders and was a drag on growth. The company chose to redesign its onboarding programme using AI. After a rigorous trial, the company selected Xapien as its preferred vendor.
Where Xapien steps in
During the initial phase, the company used Xapien to screen 136 suppliers. It automatically discarded 740 irrelevant potential matches for sanctions and watchlist checks, saving the compliance team days of review. Xapien identified sanctions and watchlist hits for five suppliers—something other tools would catch—but also uncovered adverse media links for over 20%. Concerns included employee theft and allegations of insider trading. Legal proceedings spanned insolvency disputes, labour conflicts, antitrust violations, and lawsuits involving unions. Further litigations included a million-dollar lawsuit over product safety concerns. This exposed a significant flaw in the company’s existing third-party due diligence process which was restricted to datasets and manual review.
The impact
With Xapien implemented at the start of the supplier onboarding, all potential suppliers are screened for risk across various categories, including ABAC, financial crime, and ESG using information from datasets combined with data from the entire indexed internet. Xapien reports take less than 30 minutes to run and compliance teams can triage higher and lower-risk suppliers in minutes. They can then focus their resources on suppliers that require deeper scrutiny. Low-risk suppliers are cleared immediately, leading to safer, faster growth.
"Xapien reports cover the full risk spectrum, including our core areas of focus: integrity, financial, operational and sustainability risk."
Head of Supply Chain Sustainability and Due Diligence
Xapien streamlines due diligence
Xapien's AI-powered research and due diligence tool goes faster than manual research and beyond traditional database checks. Fill in the form to the right to book in a 30 minute live demonstration.