Disruptive, revolutionary new technologies have always promised to transform trade, e.g. Edocs. However, in real world global trade is very resistant to change as the slow takeup of the Bolero platform shows. But two new technologies/services have just been released that might act as a catalyst for real change.

TIX blockchain Platform for trade finance

TradeIX Limited have just launched their TIX Platform, an open platform that, they claim, rewires trade finance powered by blockchain technology. The TIX Platform provides banks, alternative funders, Business-to-Business (B2B) networks, technology providers and corporates with a smarter, more connected and more secure way to finance trade related assets around the world. 

The platform uses four key components TIX Apps, TIX Developer, TIX Composer, and TIX Core to deliver the “internet of trade”:

Source & Copyright©2017 - TradeIX

By applying blockchain technology to trade finance TradeIX claim that it:

• Reduces complexity and the number of intermediaries involved
• Reduces settlement, custodian and counterparty risk
• Manages credit risks better and more efficiently.

Open platform

The key feature is that the platform is open, so it is simpler for users to connect and use than proprietary platforms, can accommodate users’ different legacy technology systems and has potential for much greater network integration.

Predictive Ordering

Predictive ordering is the ability to compile, suggest and execute purchase orders with a software application. The software uses data and trends based on previous sales history, consumption patterns and other inputs to make recommendations on product mix, quantities, pricing, delivery dates or other attributes of an order. The promise of predictive ordering is that it can complement human decision-making or even replace it entirely, allowing for greater automation and more lean business processes.

To make Predictive Ordering systems work requires a huge amount of technology including:

• Computer vision. The use of cameras and imaging technology to help determine the quantity of items present on a shelf or display, and also recognizing when an item was picked or returne
• Sensors. Pressure-, light- or weight-sensitive sensors can detect item quantities or volume used 
• RFID. Items that have RFID tags attached can be read remotely by readers without the need for scanning
• Point-of-sale and inventory data feeds. These allow for real-time checkout and inventory data to drive suggested orders of particular SKUs based on model stock levels.

Amazon are using this approach in their warehouses and have developed new stores for customers to visit that have no cashiers at all.

Future of trade

The future of trade is shown by these two solutions: open trade platforms based on block chain technology combined with retailer’s advanced ordering and management systems.

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CTMfile take: The one caveat for vision is that supply chains need to be much more flexible and remove complexity as we showed in this post.