Information Technology is the conduit to achieve real economic integration in the 21st century era, yet until today have we not been successful. The pathway to success lies in the name itself “Information Technology”. We need to understand what kind of “information” are we reliant upon and who is delivering this “technology”, at what cost, and can we depend on it to connect our economies.
The management of the data is not just about the quantity available as efficiency lies in the quality of the information that can be used.
Today the world of information can be divided into two extremes. The first extreme is Non-Validated Data (NVD) provided by a single source of data without verification.
The second extreme is Ultimate Data Quality (UDQ) provided to initiate a real life action in the real world that is continuously updated and validated through multiple sources as the action progresses through the global value chain. The information enabled by UDQ ensures clarity of decision-making based on reliable and validated information.
Unfortunately the world of IT is primarily reliant on NVD with a high dependency on reviews, IP address behavior, like and dislike selections and less reliant on UDQ.
For the Digital Economy to succeed it requires real time dynamic and validated information. But where can we find this UDQ?
The UDQ environment already exists in the logistics industry. An industry long underestimated, yet it has the enormous potential to empower the global economy. The logistics pipeline lies at the core of our economies as it is the conduit that delivers the basis of the real economy, the food that we eat, the clothes that we wear and the materials to build our cities.
But on its own it is not enough. What is required is the integration of the four pillars of Trade; Commerce, Finance, Insurance as well as logistics. Given that logistics is the weakest and most fragmented of these, the issues facing logistics prevent the other three industries from performing at optimum levels.
Enhancing the efficiency of logistics will enable peak logistics performance and generate the UDQ needed to boost the other three industries thus allowing them to reach their full potential to a new level not thought possible before.
The Digital Economy environment is an ecosystem that permits global integration of product and service offerings with the intelligent proficiency to match sellers to targeted buyers. This environment is based upon dynamic, validated real-time information accumulated and continuously updated through the normal course of trade activities around the world. In other words the UDQ, rather than the unsubstantiated reviews presently in use. This environment will transform the four pillars of trade to a completely new digitally integrated level through E-Commerce, E-Finance, E-Insurance and E-Logistics.
The E-COMMERCE enables the smart matrix at the moment that a buyer evaluates any seller’s products or services globally, thus maximizing conversion ratios from seeing a desired product and service to acquisition. This is the staring point of Real Economic Integration.
The E-FINANCE expedites trade finance, promoting trade increases and enabling new global market expansion for large enterprises, as well as for the SMEs who represent one of the main cornerstones of global economic growth.
The E-INSURANCE minimizes underwriter risk, expedites insurance coverage, enables maximized global door-to-door coverage, enables firms’ seamless integration into the global market, and facilitates expedited claims processing by providing firms with all data needed to process claims quickly and accurately.
The E-LOGISTICS minimizes standardization requirements, creates a point-to-world integration environment, enables real-time performance monitoring, creates an optimal and validated E-Documentation environment and provides the required tools to plan and manage global trade lanes from shelf to shelf.
The responsibility to deliver the Digital Economy to the world must be undertaken by a global trusted technology network that has proven success selected under a transparent equal opportunity process. Furthermore, it must involve all forms of organizations, public, non-profit, and private sectors working in concert together capitalizing on each organization’s capabilities and jurisdiction. This introduces an independent global monitoring mechanism offsetting geopolitical and monopolistic concerns at the same time ensuring rapid global deployment, providing benefits to all participants at no cost to the end user.
If the objectives of the custodians of the world economy is to deliver a tangible solution, the Digital Economy must be their top priority.
This will be the beginning of a New Era of IT through the 21st century Digital Economy environment.
The foregoing has been authenticated through the results to date from the G20 Nations Case Study that involves diagnostic trade efficiency assessments across all G20 countries. With nearly 40% complete 78% of the G20 citizens do not have an integrated system and nearly 90% have confirmed the need for new digital tools provided by the above Digital Economy environment to improve and expand their business.