Blockchain has undoubtedly changed how businesses operate across the globe. Being a distributed ledger technology that underlies cryptocurrencies like Bitcoin and platforms like Ethereum, it enables recording and transferring data that is transparent, safe, auditable, and resistant to outages. Blockchain increases the accuracy of trading while reducing the settlement process which has profoundly transformed the supply chain industry. It enables easy traceability of data, from recording the date, quality, location, and certification to keeping track of the price of the products which ultimately reduces the losses, increases visibility, and also increases efficiency especially in the manufacturing sector bringing down the administrative costs.
It has serious implications for understanding and controlling the real environmental impact of products as it makes verification of the authenticity and fair trade status of products quite simple. Another critical aspect of blockchain is the ease of transactions, making the entire process of payments frictionless. Also, Blockchain imparts an added level of security to the supply chain along with data validation at every stage of a transaction. The critical supply chain challenges are resolved through Blockchain solutions like Product tracking, end-to-end delivery information, and product authenticity. It molds a supply chain ecosystem which is faster, cheaper, and free from any human errors threatening its authenticity. FedEx, UPS, British Airways, Maersk, and Walmart are some of the industry giants that use blockchain for SCM.
With faster business processes and fewer interruptions, the global trade sector is expected to grow further, and blockchain has a huge role to play in enabling a hassle-free, sustainable supply chain environment.