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Global Trade’s Annual Logistics Planning Guide Reveals the Year’s Top Trends

logistics

Global Trade’s Annual Logistics Planning Guide Reveals the Year’s Top Trends

Sometimes buying your business into the latest trends isn’t the best idea. Saddled with high costs and incompatible programs, trendy new technology can often make business processes more difficult for your business, not less. But there are some industries where the latest really can be the greatest, and one of those industries is the logistics industry.

Let’s face it: Logistics make the world go round. Whether it’s shipping perishables to community markets or lifesaving machinery to medical clinics, there’s a lot riding on the shoulders of logistics providers. That’s why it often pays to rely on cutting-edge technology. From tracking and tracing to locating items in your warehouse, new technology can often get the job done faster and more accurately. Plus, with the growing e-commerce market, logistics is more important than ever before as businesses push to get their products into customers’ hands at the speed of retailers such as Amazon.

So, what’s on the horizon for the logistics industry this coming year? Here’s what’s on our radar—and should be on yours—for the best (and one troublesome) new innovations and trends in logistics in 2020.

LOGISTICS IT

When it comes to logistics, information technology (IT) may arguably be the most important innovation of 2020. That’s because without a solid tracking system in place you’re not only causing potential backlogs for your workers, but you could be causing frustration for your clients, too. After all, if your customer can’t see where their merchandise is in the supply chain, they may bring their business to someone else who can. This is where an excellent Warehouse Management System (WMS) comes in. Using RFID and GPS, warehouse management systems can now monitor and trace every piece of inventory in your warehouse, providing real-time data to both you and your customer.

Other systems expected to be used with increased frequency in the new year include order entry systems and transportation management systems (TMS).

But logistics IT isn’t just what the customer sees, or even what your employees interact with. It goes well beyond that. Logistics IT also encompasses the back end of your IT solutions—not just the IT product itself but also the customer support that goes along with it.

We all know the logistics industry doesn’t just run from nine to five. When there’s a problem like a software bug or outage, is your IT provider available to offer technical support when you need it? Does your provider strive to make software updates that are meaningful to your business, and that integrate seamlessly into your other systems? Does your provider notify you when there are new versions of your system that could benefit your business? These are all signs of a good IT provider—a trend you definitely don’t want to miss the boat (or train, plane or truck!) on.

Logistics providers are using the latest technology, such as Collaborative Planning, Forecasting and Replenishment (CPFR) and Vendor Managed Inventory (VMI), to satisfy ever-changing customer requirements. DHL Express introduced a fresh TC55 technology that works on the Android platform and is simple to use, as well as the navigation skills in the global positioning system (GPS).

ARTIFICIAL INTELLIGENCE AND MACHINE LEARNING

Artificial intelligence, or AI, is another way technology is streamlining the logistics industry. Currently, the biggest benefit of AI is arguably its ability to automate many of the processes logistics providers provide every day, including repetitive tasks that exhaust human capital and don’t challenge workers. Though many workers worry that AI will someday replace human workers, currently the technology is actually assisting them.

Another use for AI in the logistics industry relates to the driving of vehicles. As many are aware, initiatives from companies like Google have in recent years invested time and resources into developing self-driving cars, i.e. autonomous vehicles. These vehicles may be manned by a human driver, but they allow the driver to take breaks from driving while still traveling. This in turn gets deliveries to their destinations quicker, a fact that is projected to save logistics providers a lot of money. In fact, according to Mckinsey, autonomous vehicles could save logistics providers up to 45 percent, a savings providers can then pass along to their clients. These savings could then be passed to the consumer in the form of lower prices or lower shipping rates.

ENVIRONMENTALLY CONSCIOUS LOGISTICS

With many seaports developing green initiatives and land- and air-based logistics providers initiating a greater push for a reduced carbon footprint, 2020 is set to be a big year for reducing carbon emissions. Some land-based initiatives include more efficient route mapping, video conferencing and net-zero emissions.

Route mapping works by eliminating excess travel on longer routes. The idea is that a more direct route cuts fuel waste as well as carbon emissions. Video conferencing saves both money and the need for travel to meetings. As for net zero emissions, many logistics providers are investing in low or zero-emission vehicles and alternative fuels that emit less carbon into the air.

Logistics companies with warehousing services are also increasing their push toward a lower carbon footprint, using sustainable packaging and ramping up recycling efforts with the packing, shipping and packaging of products.

Maritime initiatives include the restoration and protection of wetlands as well as the planting of trees at some ports. Strategies also include the use of more efficient photosensitive lighting, such as the switch to LED lighting. Some ports have even switched over to the use of electric equipment instead of diesel fuel equipment, the establishment of fuel efficient requirements for ships which frequent the port and much more.

BLOCKCHAIN

If you’re in the logistics world, you’ve likely been hearing about blockchain for several years now. But what is it? Simply put, blockchain is a way of recording data which cannot be altered, using a technology called cryptology. Blockchain data is nearly unchangeable. The “chain” in blockchain refers to the chain of messages that originate from a single entry. To edit the chain, all members who posted to the chain must be willing to alter their own data to support the potentially edited data. This reduces the risk of that data being falsified or otherwise compromised along the way.

Blockchain data can be used to do everything from order tracking to payment issues. Blockchain also streamlines the way we communicate, reducing the need for time-consuming paperwork. Blockchain works in real-time, so shippers can trace every detail of their shipment as it progresses and make necessary adjustments to their route and load temperatures as needed. This can save time and money, preventing delays or rejected shipments.

Blockchain can also aid in financial decisions regarding fleet vehicles. Similar to a Carfax report, blockchain can show whether a pre-owned logistics vehicle has been maintained as well as the previous owner claims, and can help the potential buyer make decisions that could cost them—or save them—significantly down both the literal and figurative roads.

Indeed, blockchain has become so big that an organization has been founded to monitor the industry. The Blockchain in Transport Alliance, or BiTa, was founded to help advance the Bitchain industry, developing rules and regulations and providing education for new and veteran Bitchain users. The organization already boasts an impressive member list, including representatives of UPS and FedEx.

TECHNOMAX

In the maritime sector of the logistics industry, one revolutionary service that is “making waves” is TechnoMax, or TMX. TechnoMax works to streamline maritime operations by working with AI and the Internet of Things (IoT). The system provides risk and compliance data, app development, infrastructure development and data management. Some of TechnoMax’s capabilities include monitoring a ship’s emissions, analyzing cargo information and guiding navigation.

TRADE TARIFFS

Now for some bad news. With trade deals between the United States and China again delayed, there remains a lot of uncertainty among retailers and manufacturers. Though there is no crystal ball to predict the future or what it holds for these industries, the potential for raised prices on goods is of big concern. Price increases would inevitably be passed down to consumers, who could cut out or cut back on goods, causing sales to plummet. This could in turn negatively impact the logistics industry, as fewer products will be warehoused and transported.

For now, the industry seems to be holding its own, with some businesses preparing for the looming tariffs by shipping larger amounts now to avoid elevated costs later. Whether this bulking up will cause a dramatic drop in shipments in the first few months of 2020 remains to be seen.

LOOKING TO THE FUTURE

All things considered, 2020 seems to be gearing up to be a great year for the logistics industry, with many new technological and environmental advances on the horizon. From AI to blockchain, the industry is poised to become more efficient than ever, saving providers money which they can pass along to their clients, and in turn potentially to the consumer.

Even with the potential for steep tariffs on China (and vice versa) on the horizon, these positive advances should still make an impact on the industry in the coming year and decade.

production

The Countries Leading the Way in the Future of Production

The First Industrial Revolution dates back to the 18th century, with the manufacturing and production process evolving significantly to improve efficiency. Since then, the world has gone through a series of changes with the present-day seeing us in full swing of the world’s Fourth Industrial Revolution. 

Using data from the World Economic Forum’s ‘Readiness for the Future of Production’ report, RS Components have taken a look at the countries that are leading the way when it comes to driving production forward. The six main drivers are ‘Technology & Innovation’, ‘Human Capital’, ‘Global Trade & Investment’, ‘Institutional Framework’, ‘Sustainable Resources’, and ‘Demand Environment’. See how each country compares when it comes to being ready to produce more products, technologies, and goods here.

The 21st century is a truly digital age, with technology now intertwined and cemented into both our personal and professional lives. Over the last two decades, in particular, technology has become increasingly advanced and has seen the emergence of the Fourth Industrial Revolution. Complicated and impressive technologies such as artificial intelligence (AI), robotics, the Internet of Things (IoT), 3D printing, genetic engineering, and quantum computing have all emerged and are being used across the globe in a variety of industries, businesses and processes.

As a result of the new technological age, the speed, efficiency, and accuracy of production levels have improved astronomically, with less room for human error as machinery takes over, making production levels much faster and hassle-free.  

With the rise of these advancements, it is important for countries and businesses across all industries to be tapping into these changes to keep up with the future of production. But which countries are leading the way?

RS Components have produced a graphic analyzing data from the World Economic Forum’s Readiness for the Future of Production report, to reveal the countries leading the way when it comes to driving production forward. With each country analyzed by a series of metrics including global trade and investment, institutional framework, sustainable resources, demand environment, and emerging technologies, the top 10 countries leading production levels forward have been scored out of 10.

The top 10 countries driving the future of production include:

The US takes the crown as the leading country in the world driving the future of production forward. Scoring at the top of the leaderboard across all metrics excluding Sustainable Resources and Institutional Framework, the US holds an overall score of 8.16 out of 10. The US is renowned for its innovation and holds an advanced, connected and secure technological platform that allows production to drive forward in the most efficient way possible.

Singapore ranks as the second country driving the future of production and the UK sits at fourth place with a score of 7.84. Singapore sits as one of the world’s leading chemical manufacturing sites, with over 100 global petroleum, petrochemical and specialty chemical companies situated on 12 square miles of land. Singapore today sits as the world’s fifth-largest refinery export hub and amongst the top 10 global chemical hubs by export volume. Involved in these systems includes advancements in manufacturing from robots, to predictive analytics and artificial intelligence. Singapore, like the US, is a key driver in testing, experimenting and trialing the latest technologies. In addition, manufacturing continues to contribute around 20% to Singapore’s GDP.

The importance of having the right technological foundations 

In order for production levels to thrive, it is crucial that technological foundations are cemented in supply chains across the globe. For example, in a warehouse, the speed and availability of the internet is crucial when the Internet of Things is being adopted on the factory floor. In addition, it is also greatly important for businesses and industries to have strong, connected cybersecurity systems to ensure digital security is maintained to a high standard. Having the technological foundations of this, like the US, allows the nation to drive forward technologies to increase production levels.

In addition, in order to ensure these new innovations are implemented effectively, it is crucial that employees have a good understanding of the technology they are interacting with on a daily basis, as the skills required of workers will evolve with the new advancements.

Combined, industries and countries will be able to adapt rapidly emerging technologies into their production lives, which will have a global impact on both businesses and consumers across the world.

trade

Laboring for Trade

Labor provisions are an increasingly important feature in trade agreements. But do they work?

How countries treat their workers might seem unconnected to the movement of goods and services across national borders. Yet in many trade negotiations, a trading partner’s labor standards are an increasingly important concern.

The fate of the pending United States-Mexico-Canada Agreement (USMCA), for instance, hinged for months on bipartisan support for the pact’s provisions around labor. In fact, the Trump Administration made major efforts to woo organized labor and ultimately secured the support of the AFL-CIO, thereby ensuring the agreement’s passage through the Democratically-controlled House.

But despite the attention paid to labor provisions in trade deals like USMCA, domestic policy, not trade agreements, might be the most direct – and most effective – way to improve workers’ lot, especially in advanced countries like the United States. As important as labor provisions have become to trade agreements, available research points to a mixed record on their impacts.

More and more common in trade agreements

Trade and labor standards have been linked concerns since at least the 19th century, according to the International Labour Organization (ILO). As early as the mid-1800s, European social activists were agitating for international labor norms such as an eight-hour workday and the abolition of forced labor. By the end of the century, countries such as the United Kingdom, Australia, Canada and New Zealand had passed laws banning the import of products made by prisoners.

But it wasn’t until the signing of the North American Free Trade Agreement (NAFTA) in 1993 that trade agreements explicitly addressed labor (technically the 1947 Havana Charter contained an article on Fair Labour Standards but did not go into effect). NAFTA included the first side agreement on labor standards, the North American Agreement on Labor Cooperation (NAALC), which established a system of “cooperative activities” that the United States, Mexico and Canada agreed to undertake together to improve worker treatment.

The floodgates opened after NAFTA. In 1996, the World Trade Organization (WTO) adopted The Singapore Ministerial Declaration, embodying a new global consensus on trade and labor. Among other things, the Declaration included a commitment to international core labor standards while rejecting the use of labor standards for “protectionist purposes.”

Today, labor provisions are increasingly de rigeur in trade deals. By the ILO’s count, 77 trade agreements negotiated globally in 2016 included labor provisions, compared to just three in 1995. Overall, says the ILO, more than a quarter of global trade pacts reached in 2016 – 28.8 percent – addressed labor standards in some way.

 

# ageements with L provisions text

Rationale for labor provisions

Proponents of labor standards in trade agreements cite several justifications for including these provisions. The first is moral: Trade agreements set the rules for international trade, and the inclusion of labor standards reinforces the social and human rights norms valued by the international community. Some argue that rich countries like the United States have a particular duty to use their leverage and buying power to raise standards in developing nations.

Another rationale is economic. As the ILO notes, “[L]abour provisions are tools against unfair competition, the main idea being that violations of labour standards can distort competitiveness (‘social dumping’) and should be addressed in a manner similar to that employed against other unfair trading practices.” In particular, labor standards arguably prevent a “race to the bottom,” where countries compete to produce ever-cheaper goods by shortchanging their workers. Some U.S. advocates further argue that labor standards can level the field between workers in competing countries, potentially stemming the tide of offshoring from wealthier countries to lower-paying ones and protecting domestic jobs. (More on this argument below.)

A third rationale for these provisions is political. Labor provisions, especially in the United States, have become a powerful bargaining chip for competing interests, as the USMCA and other trade agreements have shown. The strength of a trade pact’s labor provisions has also become a proxy for the “fair” trade that the public increasingly wants to see; trade deals might be more likely to win public approval if its advocates can tout “tough” labor provisions that purport to protect U.S. jobs.

ILO chart of provisions in agreements

Carrots, sticks and helping hands

While becoming increasingly complex, labor provisions tend to fall into several basic categories. First, so-called “promotional” provisions aim to encourage countries to raise labor standards by defining a set of commitments and detailing a variety of “cooperative” activities countries might do to discuss, implement and monitor these obligations.

For instance, in the CAFTA-DR agreement involving the United States, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and the Dominican Republic, the United States agreed to finance an array of “capacity building” activities aimed at improving countries’ infrastructure around workers’ rights. These projects, according to the ILO, included “increasing workers’ awareness of their labour rights, increasing the budget and equipment of labour ministries and labour judiciaries, training labour officials, and setting up centres providing legal assistance to workers.”

While these types of provisions could be considered “carrots,” agreements can also include “sticks” in the form of “conditional” provisions requiring a trading partner to meet certain obligations before a deal is ratified. The United States’ trade agreement with Morocco, for instance, required Morocco to raise its minimum working age from 12 to 15 and to lower the maximum number of hours in its workweek from 48 to 44 as a precondition to ratification.

Text graphic weak enforcement criticism of NAFTA

Other “sticks” include provisions calling for sanctions if a country’s commitments aren’t met and specifying the mechanisms for policing and enforcement. Among the processes detailed would be who is entitled to file a complaint and how disputes will be settled (e.g, through arbitration). Among the chief complaints of NAFTA’s critics was weak enforcement, which is one reason why this issue became a major sticking point in negotiations over NAFTA’s successor, the USMCA. For instance, while more than 40 labor complaints were filed under NAFTA, none have so far led to sanctions, a result that many labor advocates wanted to see remedied.

Impacts on workers’ conditions and on trade flows

Research on the impacts of labor provisions in trade agreements is relatively scant. For one thing, measuring the direct impacts of these provisions on workers’ circumstances is hard to do. What research there is, however, shows that labor provisions can benefit workers in developing countries, especially if they have the support of wealthier trading partners in building capacity for creating and implementing reforms.

In a 2017 survey of existing research, the ILO found that labor provisions in trade agreements can provide a modest boost to workforce participation in some countries, particularly among women, and even help ease the gender gap in wages. According to the ILO, the average workforce participation rates in countries subject to labor provisions is about 1.6 percentage points higher than in countries without such obligations. “One possible explanation for this effect is that labour provision-related policy dialogue and awareness-raising can influence people’s expectations of better working conditions, which in turn increase their willingness to enter the labour force,” says the ILO.

In certain circumstances, conditional labor provisions can dramatically benefit workers. In Cambodia, for instance, according to the ILO, labor provisions included in the Cambodia–United States Bilateral Textile Agreement helped reduce the gender gap in Cambodia’s textile sector by as much as 80 percent between 1999 and 2004. “These results are partly due to the incentive structure of the agreement, which tied export quotas to compliance with labour standards, but also to a monitoring programme (Better Factories Cambodia) that was implemented with the support of the ILO and backed by the social partners,” the ILO found.

What the evidence does not show is that higher labor standards in developing countries dampens the flow of trade by raising the price of goods produced. In fact, research shows the opposite – countries subject to labor provisions often see a slight increase in their exports. According to a 2017 analysis by the World Trade Organization (WTO), labor provisions can benefit low-income countries by “increas[ing] demand for products by concerned consumers” in richer countries, thereby leading to more trade. (Consider, for instance, the growing consumer demand for “fair trade” coffee.) Similarly, the ILO finds that countries entering trade agreements with labor provisions see a slightly greater increase in the value of trade compared to countries without such provisions.

L provisions no substitute for domestic action

Both the WTO and ILO analyses caution, however, that the countries seeing the biggest impacts on their workers also enjoyed strong domestic support for labor reforms. While entering a trade agreement with labor provisions might have helped catalyze important shifts in domestic policy, the agreements themselves are no substitute for domestic action. In fact, in places where domestic enthusiasm for labor market reforms are weak, the impacts of labor provisions have been minimal.

One case in point is Guatemala, where the AFL-CIO and six Guatemalan trade unions filed a complaint in 2008 alleging that Guatemala was failing its obligations under CAFTA-DR. After nine years of procedural and other delays, an arbitration panel convened under the auspices of CAFTA-DR in Guatemala failed to find that Guatemala had breached its obligations under the agreement, despite the lack of progress on systemic reforms and widespread reports of anti-union violence.

No replacement for domestic policy

The inclusion of robust labor provisions in trade agreements reinforces international norms for just worker treatment. It can also promote much-needed reforms in nations with weak standards and help protect workers from exploitation.

Wealthy countries should not, however, count on labor provisions in trade agreements as a principal mechanism for protecting domestic jobs.

For one thing, as we’ve written elsewhere on this site, companies’ decisions about where to put their factories depends on many factors other than the cost of labor, such as proximity to markets, intellectual property protections, tax and regulatory considerations, and the skill of the workforce. Second, labor provisions in trade agreements are, at best, a highly indirect way of leveling the playing field between workers from one country to another. Third and most significantly, the biggest future threat to a worker’s job might not be a lower-paid worker in a maquila but a robot.

While apocalyptic forecasts of automation’s impacts are no doubt overblown, there’s little question that advances in automation will prove immensely disruptive in coming decades. For instance, one 2018 analysis by Price Waterhouse Cooper predicts that nearly 40 percent of U.S. jobs could be susceptible to automation by 2030.

Ultimately, the best protection for workers are domestic policies that prepare workers for disruption and smooth their transition in the event of displacement. These policies can include better and more robust adjustment assistance for displaced workers; bigger government investments in career and technical education, particularly for incumbent workers; greater coordination among governments, businesses and schools so that workers have the right skills to fill gaps in the workforce; and increased public support for research into innovations that will lead to more jobs.

This is not to say that the energy spent on negotiating labor provisions in trade agreements isn’t time well-spent. What policymakers and the public need to know is what these provisions can — and can’t — do.

__________________________________________________________________

Anne Kim

Anne Kim is a contributing editor to Washington Monthly and the author of Abandoned: America’s Lost Youth and the Crisis of Disconnection, forthcoming in 2020 from the New Press. Her writings on economic opportunity, social policy, and higher education have appeared in numerous national outlets, including the Washington Monthly, the Washington Post, Governing and Atlantic.com, among others. She is a veteran of the think tanks the Progressive Policy Institute and Third Way as well as of Capitol Hill, where she worked for Rep. Jim Cooper (D-TN). Anne has a law degree from Duke University and a bachelor’s in journalism from the University of Missouri-Columbia.

This article originally appeared on TradeVistas.org. Republished with permission.

AI

Ethics And AI: Are We Ready For The Rise Of Artificial Intelligence?

No job in the United States has seen more hiring growth in the last five years than artificial-intelligence specialist, a position dedicated to building AI systems and figuring out where to implement them.

But is that career growth happening at a faster rate than our ability to address the ethical issues involved when machines make decisions that impact our lives and possibly invade our privacy?

Maybe so, says Dr. Steven Mintz (www.stevenmintzethics.com), author of Beyond Happiness and Meaning: Transforming Your Life Through Ethical Behavior.

“Rules of the road are needed to ensure that artificial intelligence systems are designed in an ethical way and operate based on ethical principles,” he says. “There are plenty of questions that need to be addressed. What are the right ways to use AI? How can AI be used to foster fairness, justice and transparency? What are the implications of using AI for productivity and performance evaluation?”

Those who take jobs in this growing field will need to play a pivotal role in helping to work out those ethical issues, he says, and already there is somewhat of a global consensus about what should be the ethical principles in AI.

Those principles include:

Transparency. People affected by the decisions a machine makes should be allowed to know what goes into that decision-making process.

Non-maleficence. Never cause foreseeable or unintentional harm using AI, including discrimination, violation of privacy, or bodily harm.

Justice. Monitor AI to prevent or reduce bias. How could a machine be biased? A recent National Law Review article gave this hypothetical example: A financially focused AI might decide that people whose names end in vowels are a high credit risk. That could negatively affect people of certain ethnicities, such as people of Italian or Japanese descent.

Responsibility. Those involved in developing AI systems should be held accountable for their work.

Privacy. An ethical AI system promotes privacy both as a value to uphold and a right to be protected.

Mintz points to one recent workplace survey that examined the views of employers and employees in a number of countries with respect to AI ethics policies, potential misuse, liability, and regulation.

“More than half of the employers questioned said their companies do not currently have a written policy on the ethical use of AI or bots,” Mintz says. “Another 21 percent expressed a concern that companies could use AI in an unethical manner.”

Progress is being made on some fronts, though.

In Australia, five major companies are involved in a trial run of eight principles developed as part of the government AI Ethics Framework. The idea behind the principles is to ensure that AI systems benefit individuals, society and the environment; respect human rights; don’t discriminate; and uphold privacy rights and data protection.

Mintz says the next step in the U.S. should be for the business community likewise to work with government agencies to identify ethical AI principles.

“Unfortunately,” he says, “it seems the process is moving slowly and needs a nudge by technology companies, most of whom are directly affected by the ethical use of AI.”

_________________________________________________________

Dr. Steven Mintz (www.stevenmintzethics.com), author of Beyond Happiness and Meaning: Transforming Your Life Through Ethical Behavior, has frequently commented on ethical issues in society and business ethics. His Workplace Ethics Advice blog has been recognized as one of the top 30 in corporate social responsibility. He also has served as an expert witness on ethics matters. Dr. Mintz spent almost 40 years of his life in academia. He has held positions as a chair in Accounting at San Francisco State University and Texas State University. He was the Dean of the College of Business and Public Administration at Cal State University, San Bernardino. He recently retired as a Professor Emeritus from Cal Poly State University in San Luis Obispo.

machine learning

How Machine Learning Is Transforming Supply Chain Management

Supply chain management is a complicated business. A lack of synchronization or one missing entity can interrupt the entire chain and result in millions in losses.

In a market environment where businesses are continually striving to cut costs, increase profits, and enhance customer experience, disruptive technologies like machine learning offer a window of opportunity. By exploiting the enormous amount of real-time data and leveraging the cloud power, it improves decision making, process automation, and optimization. It can create an entire machine intelligence-powered supply chain model. It also helps companies improve insights, mitigate risks, and enhance performance, all of which are crucial as the global supply chain war wages on.

Gartner recently announced that innovative technologies like blockchain and Artificial Intelligence (AI)/machine learning would significantly disrupt existing supply chain operating models. In addition to advanced analytics and Internet of Things (IoT), machine learning is considered one of the high-benefit technologies. This is because it allows dynamic shifts across industries and enables efficient processes that result in significant revenue gains or cost savings. 

So, it is no surprise then that, in another industry update, Gartner predicted that at least 50% of global companies would be using AI-related transformational technologies in supply chain operations by 2023.

There are three key ways in which these transformational technologies empower businesses:

Monitoring: By connecting equipment, products, and vehicles with IoT sensors, companies can monitor goods and operations in real time.

Analyzing: Advanced analytics convert data into actionable insights and help businesses understand the reason behind specific incidents and how they impact the business.

Acting: Valuable insights as a result of data crunching help businesses address planning challenges and automate processes to improve efficiency.

So, adopting machine learning in supply chains is critical for companies to stay competitive in the long run. However, what aspects of the supply chain will be impacted by machine learning? Let us find out.

A Myriad of Benefits to Supply Chains

If you get the algorithms right, the benefits of using machine learning are innumerable. The algorithms can predict supply trends based on human behavior, resulting in personalized customer service with lower inventories and better utilization of resources. We take a look at several such benefits of machine learning below.

Brings Real-Time Visibility Which Improves Customer Experience

According to a Statista survey, visibility is a significant organizational challenge for 21% of supply chain professionals. Visibility has been a buzzword in supply chain circles for more than a decade now and every technology so far has promised to improve visibility in some way. But, is machine learning contributing anything here? 

The combination of IoT, deep analytics, and real-time monitoring is improving supply chain visibility, helping businesses achieve delivery commitments and transforming the customer experience. By examining historical data from various sources, machine learning workflows discover complex interconnections between various processes along the value chain.

Amazon is a prime example as it is using machine learning to enhance its customer experience by gaining an understanding of how product recommendations influence customers’ store visits.

Cuts Costs and Reduces Response Times

As per Amazon’s regulatory filing in 2017, their shipping costs increased from $11.5 billion in 2015 to $21.7 billion in 2017. And, it’s not just Amazon. Many other players are struggling because of rising shipping costs. In fact, in one survey, more than 24% of supply chain professionals expressed that delivery costs are the biggest challenge for B2C companies.

By applying machine learning to handle demand-to-supply imbalances and trigger automated responses, businesses can improve the customer experience, while minimizing costs. Operational and administrative costs can also be reduced by integrating freight and warehousing processes and improving connectivity with logistics service providers.

Machine learning algorithms’ ability to analyze and self-learn from historic delivery records and real-time data helps managers and dispatchers optimize the route for each vehicle. This allows them to save costs, reduce driving time, and increase productivity. 

Machine learning can also be used to detect issues in the supply chain before they disrupt the business. Having an effective supply chain forecasting system means a business has the intelligence to respond to emerging threats. And, the faster a business can respond to problems, the more effective the response will be.

Streamlines Production Planning and Identifies Demand Patterns

When it comes to machine learning’s role in optimizing complex supply chains, production planning is just the tip of the iceberg.

Sophisticated algorithms are trained on existing production data in such a way that they start identifying future buying, customers’ ordering behavior, and possible areas of waste. This helps businesses tailor production and transport processes to actual demand as well as improve their relationships with specific customers.

For example, by anticipating and acting on the specific needs of your customers before they even arise, businesses can establish themselves as reputed brands capable of recognizing customer needs. 

There is so much volatility in global supply chains that it will be challenging to forecast demand accurately, without technologies like machine learning. However, reaping the full benefits of machine learning might take years. So, businesses should plan for the future and start taking advantage of the machine learning solutions available today.

Investing in machine learning and the related technologies today means increased profitability and more resources for your business tomorrow. Businesses that can use machine learning in their supply chains will have better plans, resulting in less “firefighting” and fewer inefficiencies.

 

FinTech

FinTech: 5 Automation Trends That Are Impacting the Industry Right Now

The FinTech industry is rapidly moving toward automation as a source of efficiency. The move to specific tools and software programs increases speed and accuracy of processes. It also keeps employers on their toes as they need to quickly evolve and learn. Many of these programs previously required specialized training and adaptability.
Automation helps with repetitive procedures and simplifies complicated tasks. It increases accuracy and safety measures, while minimizing human error. Expectations indicate that the FinTech industry will extend its tech integration significantly over the next four years.


Here are 5 automation trends that are impacting the Fintech industry right now:

1. Human Resources Management: This used to be one of the least automated components, but now software like Workday and 15Five are building platforms to assist workflow with related systems that support employee management. Finance companies increasingly recognize that their people are the most valuable resource and need to be managed more thoughtfully as well as efficiently.

2. Mobile: Finance companies now consider mobile oriented tech as part of the core work-flow. The industry relies heavily on its ability to get work done efficiently. FinTech continues to utilize software which speeds up communication and productivity. Mobile used to be considered a security risk by the financial industry. Now it is considered a way to enhance productivity as well as provide more flexible workflow for employees.

3. Customer Support: More automation is taking over customer service. This support has advanced tremendously with certain software programs that include internal systems to support customers. Software systems such as Fresh Desk and Zen Desk are cutting down on the head count needed for customer service departments in some companies. But more importantly these new systems are improving the customer experience and the lives of the people working in those departments.

4. Billing/Invoicing: Payments systems like Stripe, invoicing and billing systems like Freshbooks, and more advanced ERP systems Netsuite are examples of programs that continue to reinvent the way FinTech is automating business functions. Although many companies are still at least partially stuck in the past of creating manual invoices and payments, these automated systems are increasingly taking over. Both the customer and the vendor win with greater automation in this area. Vendors cut costs and get paid faster. Customers benefit from this greater efficiency of vendors with lower prices or higher value delivered for their purchases.

5. Accounting: Xendoo, Zoho, Quicken online and other systems automate are automating the accounting, bookkeeping, and tax filing functions of businesses. Traditional accounting software, and human bookkeepers and accountants, still have an important role to play in this area, but the accounting business is rapidly changing as well due to technology. The number of people involved with these activities is likely to shrink dramatically as automation takes over more of these functions. Ultimately businesses and their customers will benefit from this via lower operating costs that allow for better value to be delivered rather than spent on administrative functions like accounting.

It is crucial for companies of all sizes to be knowledgeable about this trend and keep their business updated as automation continues to reinvent Fintech industry jobs. You have to be able to adapt quickly to these changes. Our previous ideas and habits of doing business are changing, and we have to keep up with those changes or be left behind by competitors who will adapt more quickly

Automation is impacting Fintech employees in a variety of complex ways so it’s critical for employees to have a greater understanding of and training on different software systems to ensure they keep up with the automation and benefit from it rather than viewing it as a potential threat to their jobs. There is no way to stop technology. All of us need to work hard to stay on the right side of its inevitable progress.

automation

Automation Won’t Destroy Trade – It Might Even Boost It

Alarm bells are ringing

Many industry observers are sounding alarms about the looming impact of automation, robots and 3D printing, which they fear will destroy jobsdisrupt value chains and maybe even reduce the need for international trade. Developing countries are particularly concerned because trade has been an avenue to economic development and growth for them. But a recent report released by the World Bank shows that the data and evidence don’t support the hype. Instead, automation, robots and 3D printing might actually increase trade as trade costs continue to fall.

Some business analysts have warned that automation and robots could disrupt and shorten global supply chains. The thinking behind the concern is that, if a computer can design it and a 3D printer can make it, then we won’t need to source it from countries abroad that have more abundant low-cost labor than we do. Instead, companies will drastically shorten their value chains, which could reduce international trade.

The anxieties have gotten the attention of development economists and developing countries. Trade and economic growth go hand-in-hand, both in economic theory and in practice. Multiple studies have shown that firms in developing countries that participate in global value chains outperform their local peers that solely focus on domestic markets. If robots eliminate the need for global value chains, this important avenue for economic development could be threatened.

Anxiety over automation may be overblown

Scare tactics about economic change are attractive because they get our attention. About 15 years ago, we saw headlines about “white collar outsourcing” (once attorneys were added to the list of jobs that could be moved offshore, the panic even spread into boardrooms). Some lawmakers called for restrictions on offshoring, and some of those calls are still alive today. But the mass exodus of white collar jobs did not occur.

The World Bank is a multilateral development agency that makes grants and loans to support capital projects and economic growth in the poorest countries. Anything that reduces the need for trade and global value chains would hit those developing countries hard, putting the automation concerns squarely on the World Bank’s radar.

In its annual World Development Report, the latest released on October 8, the World Bank does not take a definitive stance on the overall effects of automation, and it does not make any bold predictions. But it does make one thing clear: The anxiety over automation hindering trade is not supported by the data and evidence. In fact, the authors show that sectors with the largest increases in automation have also been those with the largest increases in trade. Yep, that’s right: We’re experiencing the opposite phenomenon to what so many are worried about.

Automation actually helping to expand trade

Specifically, the report shows that the percentage change in imports of parts from developing countries from 1995 to 2015 is higher in industries that are more automated. Agriculture and textiles are among the least-automated industries and have the smallest change. Metal, rubber and plastics, and automotive sectors have the highest rates of automation and the largest increases in trade.

Automation in industrial countries has boosted imports from developing countries

Why? Because automation, like robotic assembly and 3D printing, leads to an expansion in output and demand for material inputs. Automation can also lead to the creation of new tasks. So while it brings labor market adjustment pains — like technology and progress always do — automation will not necessarily reduce trade or shorten global value chains.

Meanwhile, investments in digital technologies continue to lower the costs of coordinating across long distances. These lower trade costs are expected to promote trade and lead to a continued expansion of global value chains, particularly for developing countries.

The big picture

Here’s the big picture: Change is the one thing in the economy you can count on. Improvements in how we make things and advanced production technologies are likely to continue, and workers and firms that adapt and embrace these changes are likely to outperform those that do not. But a wide-sweeping elimination of trade and global value chains due to automation and robots? Don’t believe the hype.

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The original version of this article was published in The Hill.

ChristineMcDaniel

Christine McDaniel a former senior economist with the White House Council of Economic Advisers and deputy assistant Treasury secretary for economic policy, is a senior research fellow with the Mercatus Center at George Mason University.

This article also appeared on TradeVistas.org. Republished with permission.

maker

The Maker Movement can Flourish Thanks to Trade

The Maker Movement

Life is pretty cushy. We long ago stopped having to make everything we need: forging tools, handcrafting shoes from hides and weaving textiles for clothing. Manufacturers eventually specialized where they had comparative advantage and produced at scale. Specialization led to more trade in goods and services. Today, anything we need can be obtained at the push of a computer button from almost anywhere in the world.

While much attention is being paid to the potential for new technologies to displace manufacturing workers, there’s an interesting phenomenon afoot. Bits and bytes are bringing us back to our “maker” roots by making information and technologies more accessible to everyone. The smallest inventors and producers can integrate into globally distributed production chains and sell into global markets. Basically, trade is providing us the luxury of producing again at a small scale, and it’s the art of inventing nimbly and producing small that just might help us stay globally competitive.

Re-Making our Workforce

“Makerspaces,” TechShops and FabLabs are popping up in cities all over the country and they are playing an increasingly vital role in education, workforce development, entrepreneurship and even revolutionizing advanced manufacturing.

Memberships give hobbyists, tinkerers, students and entrepreneurs alike access to tools, machines and materials to gain experience with 3D printing, CAD/CAM, electronics, robotics, plastics and composites, fabrication, welding, coding and programming, woodworking and more. Students and young workers can be exposed to industrial careers in a relatively low-cost, low-risk environment, picking up skills in weeks — not months and years. They can create portfolios to demonstrate competency in the skills employers require.

By partnering with local colleges and employers, training in Makerspaces can culminate in recognized and portable credentials that prove mastery of a specific skill or set of equipment, enabling companies to develop talent pipelines with less direct investment. Meanwhile, students are not just gaining experience working with materials and machines. They are also putting math and measurement into practice, reading blueprints, and using design software — the knowledge skills associated with modern manufacturing and foundational competencies for a wide variety of jobs that lie in between traditional “blue collar” and executive levels.

TradeVistas- Maker movement graphic

Small Batch Production

“Making” can create new pathways to working at established manufacturing companies, but it is also spawning a resurgence of custom fabricators who are positioned for small-batch or on-demand manufacturing. The current trend of “niche consumerism” is responding to demand for tailored products in small lots, even by the big brands.

Makers can iterate quickly in response to consumer feedback or engage in rapid prototyping to optimize product design. Makers can offer these services to larger firms or they can leverage the resources of Makerspaces to keep costs down and retain control during product development, iteration and initial production of their own invention. The difficulty of communicating well with manufacturers or visiting facilities in China is a common refrain for small entrepreneurs.

Reverse Engineering

Makers and Makerspaces are attracting the attention of major corporations. GE and National Instruments were among the first to emulate Makerspaces to support open innovation on their corporate campuses. Ford Motor Company worked with a company called TechShop to build a world-class Makerspace for Detroit, becoming the facility’s anchor tenant. Affording their engineers the opportunity to cross-pollinate with other inventors and have a freer hand in direct and more rapid prototyping, Ford says that within one year, the company doubled the number of patents the company produced.

Large companies recognize that good ideas can come from anywhere, from hobbyists to amateur scientists and roboticists. Some Makerspaces cater more to small designers and inventors, but others are more like modern-day Edison workshops hosting sophisticated “experiments” employing biotechnology, nanotechnology and additive manufacturing. As such, they have become ecosystems of innovation where individuals, small businesses and large corporations can come together to incubate and accelerate ideas in a decentralized and agile network — emulating the same set of activities and interactions that were once only housed inside the corporation.

Manufacturing Renaissance?

Putting compact versions of industrial tools in the hands of millions more people means that inventors can get a “minimum viable product” out in the world faster and at much lower cost. Small and growing manufacturers can take smaller bets on the market with lower volume commitments or put a wider variety of products out for testing consumer preferences.

Specialty manufacturers that can re-tool quickly are filling an increasingly important role offering “manufacturing-as-a-service.” The Maker Movement encourages innovation through co-creation and crowdsourced designs, rapid prototyping and experimentation with new production processes. Maker facilities enable micro-factories that can service orders from anywhere in the world. Some notable inventions in Makerspaces have even transformed commerce itself. For example, millions of small businesses now use Square to take payments.

Join the Movement

Makers aren’t likely to replace mass production anytime soon, but they are an important source for training the next generation of inventors and manufacturing workers. Makerspaces are poised to drive real economic benefits for cities that embrace and support them. For example, the Brooklyn Navy Yard brings together makers, artisans, and manufacturers. The more than 10,000 people working within the complex generate some $390 million in economic output, supporting an estimated $2 billion in indirect earnings and an additional 15,500 jobs in 2011. According to the Pratt Center for Community Development, it’s a model producing similar results from across the country from Chicago to Minden, Nevada.

The famed Defense Advanced Research Projects Agency (DARPA) has supported a TechShop in Pittsburgh and provides membership for thousands of veterans. With funding from the Department of Labor, the AFL-CIO and Carnegie Mellon University partnered with TechShop Pittsburgh to create apprenticeship programs for workers and to encourage startups to manufacture locally. As Brooking’s Mark Muro has written, the Maker Movement is “a deeply American source of decentralized creativity for rebuilding America’s thinning manufacturing ecosystems…hacking the new industrial revolution one town at a time.”

#Thankstrade

Makers are able to access the materials and tools they need because of trade. Take the 3D printer, for example. The global market for 3D printers, plastics and related services have exploded in recent years. And perhaps one could even be so bold as to say that it’s the expansion of global trade that affords us the opportunity to rediscover and reinvent the art of “making” itself, which could in turn profoundly impact what we make and what we trade.

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Andrea Durkin is the Editor-in-Chief of TradeVistas and Founder of Sparkplug, LLC. Ms. Durkin previously served as a U.S. Government trade negotiator and has proudly taught international trade policy and negotiations for the last fourteen years as an Adjunct Professor at Georgetown University’s Master of Science in Foreign Service program.

This article originally appeared on TradeVistas.org. Republished with permission.

AI

How AI can Amp Up Thematic Investment Strategies

One of the persistent criticisms facing equity investors is their short-term view. They are characterized by adding or dropping stocks as the quarterly earnings roll in. Thematic investment, on the other hand, provides one counterpoint to earnings-focused stock picking.

Thematic investing  – a strategy designed to capitalize on broad economic or social changes – has seen increasing use in recent years. In 2016, thematic funds accounted for 30% of new ETFs introduced, on topics ranging from obesity, millennial consumption habits, and health and fitness.

Yet, asking questions about anything long term can be complex and often obscure. The trends and themes themselves that will reshape economies may be easy to identify, but translating them into quality investment vehicles is another matter. Using themes like clean energy, disruptive technologies, aging populations, or emerging markets to structure portfolios comes with its own unique challenges: successfully sifting genuine long-term trends from flash-in-the-pan fads – and critically, doing so early – is no easy task. Good analysis requires a massive amount of diverse data that, once structured in a way, it would facilitate thematic analysis.

A Knowledge Graph-based framework is uniquely positioned to provide both the data and analytic framework, with the inference capabilities necessary to provide actionable insights into large data sets.

A properly built Knowledge Graph describes the interrelations between real-world entities through a multidisciplinary, multidimensional correlated structure, comparing common themes and concepts across hundreds of millions of data assets over several years of correlated data embedded into the Knowledge Graph.
Such a framework can automatically calculate thousands of strategies for any investable concept an investor can think of – ranging from sustainability themes like clean energy to disruptive technologies like 5G or cloud computing.

A functional Knowledge Graph can rapidly build new, flexible strategies for thousands of concepts, deriving insights from millions of combined sources, and in ways that a typical analyst approach cannot match. Data sets can have global coverage – with strategies tailored to and applicable to multiple regions and countries – while also being highly specialized. They’re equally capable of taking in structured and unstructured data sets; everything from news reports, SEC filings, and financial or macroeconomic reports to court opinions and clinical trial data or patents. This multidimensional approach powers a dynamic point-in-time Knowledge Graph framework to produce exposure indices with precision.

Knowledge Graphs can further offer special insights in building a thematic investing portfolio through the way they look at concepts, both – quantitative (AAPL stock prices or its fundamental indicators for example) and qualitative. This offers not only the numbers behind what makes a wise investment, but also the context behind those numbers, which is especially critical when tracking themes.

Taking that capability a step further, it can also weigh data points based on the strength of their correlation to a given data set, or screen against undesirable exposure that might at first glance appear to be on theme. This scoring can be done at the entity level, offering sourced data on every point used in the process. When the process is complete, the final index that is produced has been weighed on multiple levels, accounting for variables such as market caps and liquidity for each company, and the aggregated exposures.

This type of analysis illustrates one of the key strengths of thematic investing: its concentration. Thematic investments are typically concentrated on a smaller selection of stocks but a Knowledge Graph framework offers the opportunity to build thematic strategies based on a larger constituents basket. This pushes market analysis away from being a purely reactive prospect; through identifying anticipated changes in the world, investors can take a forward-looking approach to capitalize on opportunities as they are forming, leading to potentially greater long-term growth opportunities.

Contrast that approach with mutual funds, which are typically concentrated on 40-80 stocks in a portfolio. The emphasis is generally on diversification, which manages risk, but is not necessarily the optimal way to achieve growth.

Some funds have already begun to turn to technology to do some of this critical analysis work. The AI-powered International Equity ATF (NYSEArca: AIIQ) has been doing just this since 2018. The fund runs on the Equbot Model, a proprietary algorithm that compares and analyzes data points and international companies on a daily basis to find and optimize portfolio exposures.

With a properly designed framework, a Knowledge Graph’s AI-based exposure engine can draw inferences to understand the dynamic market trends constantly driving returns while promoting concepts investors feel strongly about. Properly deployed, AI-based thematic investment strategies can instantly create new strategies or power existing ones – and in a fraction of the cost and time that traditional analysis could yield.

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Ruggero Gramatica is founder and CEO of Yewno, innovator of the Knowledge graph that generates actionable knowledge from today’s vast informationYewno has created an extensive multi-domain knowledge graph using proprietary AI algorithms, combined with a multi-disciplinary technology platform that extracts insights and delivers products and services tailored to specific industries. Yewno generates actionable knowledge from the ever-increasing amount of information available today.

As a pioneer in the Knowledge Economy and the innovator of the proprietary Yewno Knowledge Graph, an artificial intelligence-based framework powered by billions of disparate data sources, Yewno provides continuously evolving inferences that uncover unexpected insights for financial services, education, life sciences, government and beyond.  By delivering more meaningful intelligence, Yewno is revolutionizing how information is processed and understood, enabling users to more quickly analyze complex problems and improve decision-making. For more information, visit https://www.yewno.com/.

payments

The Chicken or the Egg: Should You Automate P2P or Payments First?

I’ve been in the P2P/payment space for over 15 years. Before that, I spent a bunch of years selling payroll automation. Payroll automation achieved mass adoption relatively quickly—few companies today pay employees manually.

I figured—wrongly—that procure-to-pay was the next green field for back office technology. Just as every company has to pay its employees, every company also has to pay its suppliers. Manual processing for both payroll and supplier payments is expensive, inefficient, and non-scalable. Technology for procurement and invoice handling seemed on the verge of breaking through, similarly to payroll technology back in the day.

I wasn’t alone in thinking that. In 2005, the company I worked for brought in an analyst in the space to address our sales team about industry trends. He told us that invoice processing would be paperless by 2010. We’ve come a long way, but here in late 2019, far too many companies still deal with paper invoices and manual processes. Supplier payment automation can help change that—here’s how.

Not Just the Novelty

When I first started selling P2P solutions, the primary challenge I faced was a lack of awareness—most organizations didn’t know there was a better way to process invoices. Standard operating procedure was to hire a bunch of people to review invoices, manually enter them into the financial system, and get them paid. More invoices? Hire more people—just as it had been with payroll.

Some companies hired “Black Belts” to make changes to their processes by creating shared service centers or, in some cases, outsourcing the entire department to a Business Process Outsourcing (BPO) company. That had its own issues—namely lack of control and timing gaps, since many of these BPOs sat halfway across the globe.

As time went on, P2P solution providers became more widely known, and a growing number of companies adopted these solutions in order to reduce costs and increase efficiency by getting visibility into spend and putting more controls on how employees purchased goods or approved invoices.

Clearly that real challenge wasn’t lack of awareness. It was getting the project to the top of the list in a given company. Without a doubt, P2P solutions can drive positive ROI, but so can many other initiatives. Implementation of these types of projects can be lengthy, and eat up time and resources in procurement, finance and IT.

Based on my experience, for organizations with annual revenues greater than $500m, a typical P2P project can come with one-time implementation fees north of $250k (or more with the addition professional services) and implementation timeframes of nine months to a year or more. That’s a pretty big chunk of change for ROI that may take another year or so to manifest. As a result, these projects get pushed aside in favor of initiatives that generate revenue relatively quickly.

That was the case with countless companies I called on—they saw the value but still couldn’t get it done. Selling the ROI for P2P solutions was far more challenging than doing the same for payroll solutions. It was frustrating as hell.

The lightbulb clicked on for me in 2013 while attending an IOFM show in Orlando. Across the aisle from our booth was a company I’d never heard of: Nvoicepay. Thinking they were a competitor, I ventured over to see if I could gather some intelligence on them.

They weren’t a competitor at all. They didn’t match invoices to POs or automate the approval workflow for posting invoices to a financial system. They were a payment company that simplified supplier payments by any method—check, ACH or card—through a single interface. Plus, their solution complemented my invoice automation solution, and the increased efficiency and card rebates would significantly increase the ROI for my customer and help get the project to the top of their list! Now we could actually offer customer a procure-to-pay, solution, not just procure-to-ost.

Fast forward to 2019: I’m now working for Nvoicepay. Companies still want to automate their procure-to-pay processes, and still can’t figure out how to get the project onto the go list. Although P2P technology has improved significantly, those projects are still relatively lengthy and require resources—and therefore buy-in—from procurement, finance and IT.

Nvoicepay implementation is fast—we’re talking weeks, not months or years, to go live like a P2P project. We also require very few IT resources during the implementation, which doesn’t require the level of integration a P2P solution does. Quite frankly, when you send us a remittance file, we’ll pay 100% of your vendors regardless of payment type. Additionally, because we collect banking info from your vendors, we indemnify all payments and guarantee that funds will get to the appropriate supplier/vendor. You get a ton of process efficiencies, and the ROI starts on the first day a customer goes live, with monthly rebates generated from virtual card payments.

There’s still a conundrum. Companies want P2P but can’t figure out how to get there, and they’re not sure what to do first. Do we automate P2P and then finish it off by automating payments, or do we flip the scenario around? As companies trying to discern which should come first, I firmly believe that many companies may not fully understand what an enterprise payment platform can bring to the table and how the ROI it drives can fund their P2P project.

What I’ve Seen in 15+ Years in the P2P Space

Swinerton is a $3.6b construction company that implemented Nvoicepay’s Payment Gateway in a manner of weeks for just a few thousand dollars. They quickly started seeing monthly rebates via payments processed on virtual cards add up to $1m in the first year. Their finance department saw huge process efficiencies in their first year, and actually generated better relations with their vendors and contractors. Swinerton planned on leveraging the annual rebates to fund a T&E solution that they wanted to implement. The only thing they wished they did differently was to not take so long to decide on automation.

So, what should come first, the chicken or the egg? If egg = payments, then I say egg—and not because of the side of the aisle I sit on. I say this for my investment over the past 15+ years in the space with a desire to help our customers achieve their P2P goals and operate more profitably. Additionally, it is why most if not all P2P (procure-to-post) providers are trying to figure out how to automate payments!

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Jim Wright is the Vice President of Enterprise Sales in the East Region at Nvoicepay. He is a veteran of the financial industry, having served in senior roles at companies like Zycus, Corcentric, and SAP Ariba. With Nvoicepay, he delivers scalable payment solutions to enterprise companies and other large organizations.