Did you know that it takes the same amount of energy to mine one bitcoin, as it does to power Denmark for one whole year?! That may be true (although it is one company’s estimate). But if there are such claims being made it is evidently an energy-sapping process.
Whilst we find the disruption of the conventional banking system that Bitcoiners and Crypto(knights?) have caused interesting, the actual use of peer-to-peer cryptocurrency does not appear to be effective in day-to-day commerce. Until you are actually able to exchange the cryptocurrency with goods or services in the conventional open market, it is hard to find value in holding it. However, one attribute of the entire cryptocurrency tale that has risen from the crowds is blockchain technology. It may be some time before this is adopted in the eProcurement industry (although there could be some ‘eProcurecoin’ already in existence?), we feel that attributes of blockchain draw some similarities to the modus operandi in hospitality procurement software now.
Blockchain is a decentralised and encrypted ledger that shows all transactions between users of crypto-currencies. It is decentralised because there is no central bank that the digital currency goes through as it changes hands. However, all transactions are linked on a central chain dedicated to each corresponding currency – meaning each currency has its own blockchain, and all transactions between users are on it. Each transaction on the ledger can include anything, from prices, to details regarding the vendor, to the contractual agreement between the buyer and the supplier. The importance of attaching all of this information to a simple transaction will ultimately streamline the reconciliation process, especially for businesses with more than one purchasing department.
The logic of consolidating and centrally logging all transactions within an organisation (which is done automatically on the Caternet software) echoes the same efficiencies as the use of blockchain within the banking system. The benefits to this are that, firstly, there is complete transparency and therefore nothing will go unaccounted for in the purchasing process. Secondly, it will save you time, from having to manually write down the details of the order, to asking the accounts department to reconcile the purchasing details. Thirdly, it will lead to the ordering process to go completely paperless. In so doing, the long-term impact will cause this innovation to reduce the organisation’s carbon footprint.
At Caternet (and all other Zupa brands for that matter), we are open to embracing modern innovations to see how this can influence our technology. We aim to make you become more efficient in dealing with the boring stuff in your day-to-day, with a mind for it to have a positive ethical impact in the future. Although, ideally we would like to avoid consuming as much energy as the whole of Denmark!