Blockchain Use Case in Supply chain traceability


Blockchain technology, a digital ledger media, has become a key disruptor in the world of finance. In addition, blockchain has proven successful as an applicable figure in the area of supply chain logistics, demonstrating the possibility of blockchain traceability with it.

Introduction: what is blockchain and what are its applications?

The blockchain is essentially a decentralized ledger or a digital system recording transactions. Blockchain technology is a distributed database that allows for secure, transparent and tamper-proof transactions. It has the potential to streamline supply chains by providing a single source of truth for all participants.

Here are some of the key applications of blockchain in supply chain:

Tracking and tracing products: Blockchain can be used to track the movement of goods throughout the supply chain. This can help reduce counterfeiting and improve product safety.

Payments and settlements: Blockchain can streamline payments and settlements between suppliers, manufacturers and retailers. This can speed up the flow of goods and reduce costs.

Automated contracts: Blockchain can automate contracts between suppliers and customers, reducing the need for manual processing.

Although the credibility of blockchain-based traceability has been enhancing, it is vital that users also become aware of the limitations. This page provides a brief sketch of blockchain-based traceability with attention to technical details.

Current scenario in Supply Chain Management  

The demand for traceability in blockchain technology refers to concerns faced in the existing supply chain logistics sector. The shipping industry spends more than half of operational expenses on paperwork. Furthermore, studies have also shown that products are oftentimes mislabelled. In addition, many products also include ingredients sourced from illicit supply chains. Another prominent issue within the industry of business environments refers to the practice of counterfeiting of luxury products. In addition, around the globe, the production and sale of counterfeit products, such as electronics, makes the call for blockchain traceability.

Supply chain: its inefficiencies and the benefits of blockchain

As soon as we think of traceability in blockchain, the most important thing that comes to our mind is supply chain management. The distributed ledger technology adds higher value to the supply chain management and the offer