Supply Chain Management
Accountability is crucial with regards to supply chain management. With the modern world growing figuratively smaller year by year, countries are doing trade with that far reaches of the globe. When this trade occurs, whether it be food products, jewellery, electronics etc., various entities are involved. It is not as simple as a shipper sending off their package, and the recipient accepting it.
The process begins with the raw materials being created, and harvested. These are then sent to be created into a product. This product is then distributed to retailers, which then sell these items. Once sold these items traverse through various shipping ports, and handling agencies before finding their way to their final destination.
This is a highly inefficient process that leads to many issues that must be overcome. One such issue is that of health standards. With an increasing amount of cases popping up with people getting sick from tainted food, a solution needs to be found. A method that will allow for a more efficient means of tracking down the source of contaminants.
Not every country maintains the same level of health standards. Even various bodies within a single nation may not be one the same page.
These issues all found within typical supply chains have led to various on-going incidents. Multiple of which have led to various deaths. Currently there have been major recalls on the following products.
- English Cucumber
- Romaine Lettuce
Blockchain, among its many qualities, allows for the needed accountability to be imbued within the supply chain. By use of a decentralized ledger, participants are able to rely on unprecedented levels of traceability. This means that if an issue arises, the source will be able to be tracked down with relative ease.
Due to the decentralized nature of blockchain, updates progress throughout the lifecycle of a product are visible by anyone, involved anywhere in the supply chain. This leads to more efficient handling of products, as well as providing transparency into the process.
Working for the Cause
There are many that have recognized the issues briefly discussed here. While this is merely a superficial commentary on the important of blockchain within supply chains, many have delved into the finer details.
For those interest in learning more about the important role that blockchain can play within supply chain management, look into authors such as Mark van Rijmenam and his published work.
Supply chain management is not limited to food. Although tainted food products are a huge reason why current supply chains need overhauled, this technology can apply to any. Whether this be through the Tracr program within the jewelry industry, or fighting counterfeit merchandise.
It has been noted in recent days that the United States FDA is considering adopting blockchain for the exact purposes described here. They have recognized the benefits, and have seen that current food issues call for a solution.
Beyond the government, industry giant, Walmart, has been vocal on its support for the adoption of blockchain within supply chain management.
Blockchain Companies Jumping into the Fray
There are a few companies within the world of blockchain that have dedicated themselves to being the solution that these companies are looking for. One such company is known as OriginTrail.
With the need being recognized, expect for more to pop up in the near future.