Role of BlockChain in Supply Chain Management
Looking at the technological advancements happening across the world, as we all know that block chain has the potential to deliver the greatest value addition in business. With the block chain currently becoming the talk of the town for doing a great value addition in the manufacturing business. Right from suppliers to the manufacturers, sourcing the right things from procuring to getting it and, manufacturing it will introduce a completely new model for the manufacturing business.
As a matter of the fact, for every manufacturing business or an enterprise what matters is the supply chain working as a solid foundation to increase efficiency of the entire process. In reality working on the improvements in order supplies, checking the inventory, tracking and, knowing the current status of the orders etc., can also be tracked upon. Especially the application of blockchain for supply chain management and auditing is investigated by several start-ups and large companies.
Key factors of using block chain tech in manufacturing industries:
According to Gartner, by 2025 the business value of Block chain will grow somewhat around $176 Billion, then by 2030, it will exceed by $3.1 Trillion.
An apt combo of Block chain along with IoT will surely combination of Block Chain and IoT will create a wonderful impact on the safety, tracking status, and, traceability of the product management by repairing, maintaining and, looking at a lot of other things too. This will lead to the new usage-based business model for connected products. Around 30% of the company with more than $5 B revenue, will be having Industry 4.0 pilot projects implemented by using the Block Chain according to Gartner.
Manufacturer nowadays implemented the at-scale deployment of Block Chain. Nevertheless, today the manufacturers have implemented 6% of the Block Chain concept. With 15% of active participation of Block Chain, the customer products manufacturers are leading in pilots with limited scope. The main challenges today are the missing standards, the unclear legal and regulatory framework, lacking confidence and technical issues. These are also cited by the practitioners. Current block chains have trouble with scalability and latency (i.e. verification speed).
Even if it cannot be used for steering, the aggregated data can be stored on the block chain and thereby also made available to other parties. Startups like BigchainDB or IOTA work on scalable block chain solutions suited for the industry, which differs significantly from the Bitcoin solution with other consensus and verification concepts.
To maintain the sustainability concept or the role model of Block chain in manufacturing industry, especially in the cases of shipping and, logistics industry, the shipping container of the supply chain, will allow you to increase or enhance the originality, transparency, product compliance and, other contractual needs and, if you see it will help you reduce the counterfeiting.
Using the combination of Block Chain and IoT will allow you to monitor the shipping container condition in real-time data. It will help you to monitor each and every container’s location history, also in the case of a change in the condition of products and the temperature as well.
If you are looking for customized Block Chain solutions for your business, we are always at your service. With the block chain technology being upscaling and, with our experts in block chain technology, we will get back to you. Do drop in your query to firstname.lastname@example.org for more details!