Blockchain is shaking up the Supply Chain
Blockchain could revolutionize the way business is conducted in several industries, including manufacturing. Companies need tools to support and enable manufacturing processes. Secured data sharing enabled by Blockchain technology can transform the way they are organized, allowing streamlined communications between manufacturers, logistics suppliers and third-parties.
Each link in the value chain depends on correct, real-time information, which in an ideal world is rapidly shared between all parties. As in most supply chains, limitations lie in traditional silo systems which often deters information sharing between departments.
Tamper-proof digital technology
Blockchain can record every transaction, production step and sale of a product on a decentralized platform making it immediately available at each step. This type of distributed ledger maintains a permanent record of transactional data. It functions as a database managed by computers belonging to a peer-to-peer network. All copies of the ledger are updated and validated simultaneously, preventing a single point of failure. This leads to smarter supply chains, enabling firms to track the progress of materials and payments as goods travel around the globe.
How can it support your Supply Chain?
Supply Chain automation is a huge opportunity associated with blockchain because of the decentralized processes associated with sourcing, manufacturing, shipping and paying for goods.
Accurate data enables companies to maximize efficiencies across their supply chain, boosting profit, speeding delivery and reducing cost for themselves as well as their customers. Benefits to your organization include:
- Single source of information: Info about a product is available to all parties in the supply chain
- Accurate data throughout network: Avoid sharing docs via email or cloud applications
- Data protection: Blockchain cryptography requires anyone accessing data to have correct token
Deciding where to start
Sometimes, identifying the challenges blockchain might potentially address is a logical starting point. Consider which business network participants are involved, as well as their roles in the project. Map out the network of participants to understand their interlinked roles within the blockchain.
Understanding which assets are being transferred across the business network as well as the information associated with each one is fundamental to understanding the workflow as it crosses the business network, establishing the relevance of the blockchain. Make note of what legacy systems are involved, and how blockchain can integrate with these.
Microsoft Services can help you assess the value of blockchain to your business and deliver a proof of value with the right solution for you to solve your business challenges. Take advantage and learn how to use the Blockchain Technology to simplify and transform your current processes and find the right set of Blockchain and cloud-related technologies to solve for your business challenges.
