Primary Applications of Blockchain Technology in Supply Chain Management
The rise of blockchain occurred due to a desire to decentralize applications and operations and rely on centralized third-party entities such as banks optional rather than required.
FREMONT, CA: To say that blockchain is one of the most revolutionary technologies ever invented is an understatement. Integrating blockchain technology into any industry can significantly improve its operations, and this article will focus on the Supply Chain Management circle.
The sector has advanced significantly in recent years, and it now has a global reach. However, its international expansion has created several complications. Because consumer expectations and behavior are constantly changing, industries must integrate solutions such as blockchain to thrive in the future.
To remain relevant, blockchain technology can provide the supply chain management market with capabilities such as origin tracking and transparency. This article will discuss how blockchain technology can effect such changes and its role in Supply Chain Management.
More commonly referred to as Bitcoin, Blockchain technology can revolutionize finance to supply chain management. Blockchain technology can transform and improve supply chains because it is a distributed and decentralized ledger for recording transactions in a verifiable and unalterable manner.
Blockchain technology enables consistent and cost-effective product delivery while improving product traceability, coordination between consumers, partners, and financial aid.
Automobile distribution chain: Since blockchain technology enables the global transfer of funds, it eliminates the need for traditional banking transactions between payer and payee. A blockchain-based supply chain management system enables accurate record-keeping and provenance teaching, as well as easy access to product information via embedded sensors and RFID tags. Blockchain technology may be an ideal solution for protecting their brands against counterfeit products and developing a customer-centric business model.
RFID-enabled bids and contract execution: RFID tags enable IT systems to read and process them automatically; thus, it would be extremely advantageous to use RFID tags for smart contracts in logistics.
RFID tags may be advantageous in the following scenario:
- RFID pallet tags securely store information about the delivery location and date.
- Logistics partners can use these RFID tags to run applications and compete for delivery contacts.
- After that, the logistics partners who offer the best price and service win the contract.
- The smart contact enables tracking of the product's status and final delivery performance.
Cold chain surveillance via IoT and blockchain: While blockchain technology establishes a single point of truth in a decentralized, tamper-evident ledger, an IoT blockchain solution enables asset tracking via IoT and a blockchain network. The blockchain's distributed ledger technology enables participants in a business network to maintain a tamper-proof and unalterable record of business transactions. The architecture for blockchain supply chain solutions improves visibility and insights from the physical world, resulting in increased collaboration and trust in the business world.
This IoT platform on blockchain solution enables IoT devices to participate in blockchain transactions by validating business conditions in a trusted immutable blockchain ledger using a variety of IoT and asset data.