Why Global Trade Is Inefficient

Root Cause Analysis (RCA) | Global Furniture Industry

FULL RCA ANALYSIS

Global furniture trade, despite its scale, suffers from deep inefficiencies that cost billions annually.

This inefficiency is not due to lack of demand.

• It is due to lack of structure, data, and integration.

PROBLEM STATEMENT

Global trade faces:

• Delays
• Cost overruns
• Trust gaps
• Fragmented communication

RCA BREAKDOWN

1. ROOT CAUSE: Fragmented Supplier Network

No centralized system:

• Buyers struggle to find verified suppliers
• Suppliers struggle to reach global buyers

Discovery failure = trade inefficiency

2. ROOT CAUSE: Lack of Standardized Data

No uniform:

• Product classification
• Pricing benchmarks
• Quality verification

 Leads to confusion and delays.

3. ROOT CAUSE: Logistics Complexity

• Multiple intermediaries
• Port congestion
• Route inefficiencies

 Increases cost and uncertainty.

4. ROOT CAUSE: Trust Deficit

• No global verification system
• No unified rating or ranking

High risk in transactions.

5. ROOT CAUSE: Digital Disconnection

• Offline processes dominate
• No integrated digital ecosystem

 Slows down global trade flow.

RCA CONCLUSION

Core Problem:
No unified global trade infrastructure

Core Impact:
High cost, low efficiency, limited scalability

TFT + FISE SOLUTION

• FISE → Global supplier discovery engine
• TFT → Industry intelligence + trust building

Together, they create a structured, efficient trade ecosystem