BLOCKCHAIN IS THE NEW BUZZWORD in the industry. CARGOTALK takes experts views on how blockchain can transform the supply chain management (SCM) and the challenges of blockchain for logistics and supply chain companies that need to be watched out.
COO, Last Mile vertical
TVS Logistics India
The use of blockchain technology is going to transform the supply chain industry immensely as it involves multiple vendors for every transaction. By having blockchain technology in use we can share information in a selectively visible fashion, so that only the authorized person can see the data and manage the flow of goods, flow of money and the flow of information with complete trust. Also one of the biggest issues that companies face at present is tracking and tracing of goods before, during and after shipment. The distributed ledger capability of block chain provides buyers and sellers with increased visibility and control from shipment to receipt, which ultimately reduces the risk of fraud. By embedding blockchain across applications and network, we can transform supply chains that are smarter, faster and more transparent from sourcing all the way through from shipment to receipt. Blockchain technology is incredibly elastic. It can be modified in different ways, to adjust in different processes, network node architectures, and participants. At present it is difficult to generalize about blockchain for business in a way that is universally true. Challenges like bad data quality, error handling, creating the vast network, linking the physical goods with blockchain, visibility to different parties depending on specific requirement and most importantly setting up of a common interface when so many companies are involved considering the cost factor.