HOW BLOCKCHAIN TECHNOLOGY CAN HELP IN REAL-WORLD SUPPLY CHAIN MANAGEMENT

Virtual currencies like Bitcoin are only the earliest use cases of blockchain technology. Blockchain technology will soon find application in real-world supply chain management. Ocean freight accounts for roughly 90 percent of goods traded globally. Surprisingly, ocean transportation is currently highly dependent on paperwork that has not been securely digitized. Shipping information usually travels through numerous companies and contractors, any one of which can cause a delay. A late approval or lost form can leave goods stuck at a checkpoint or port. A supply chain blockchain could boost transparency, trust, and predictability by allowing users to track where a shipment is at any given time. Since a blockchain is an immutable ledger, changes in possession and ownership of goods as they move from their producer to their point of retail could be entered into the ledger instantaneously and permanently. Because a blockchain is decentralized, it has no single point of failure. So, shipping, possession and ownership information could be better protected from tampering or hacks.