How Blockchain is transforming the supply chain and logistics industry

logistics trechnology

While Blockchain is mostly associated with its debut role in the creation of crypto currency, the technology is a major disruptor, impacting several industries. With wide spread applications in sectors involving agreements/contracts, tracking, and payment, the logistics industry has begun exploring Blockchain technology to access its innovative and secure system.

Managing supply chains, today, include complex co-ordination to transport and distribute goods. Modern logistics networks cater to the expanding global markets, resulting in supply chains that span over hundreds of stages over months, multiple geographical (international) locations, tons of shipping and customs paperwork, and multi-level payments involving numerous stakeholders and entities involved.

Blockchain can potentially help increase the efficiency and transparency of the supply chain process and positively impact everything from warehousing to delivery to payment. Furthermore, with an essentially built-in chain of command, Blockchain facilitates bringing in the necessary reliability and integrity in supply chain management.

What Is Blockchain?

According to the Economist, a Blockchain is a distributed database that maintains an ever-growing list of records called ‘blocks’. The information in a block is locked and cannot be altered as each block contains a timestamp and a link to a previous block. The nature of Blockchains makes it function like a public, digital, distributed ‘ledger’. This function facilitates recording of every transaction on a block and across multiple copies of the ledger, making it highly transparent. It’s also highly secure and extremely efficient and scalable. Since its debut in 2009, Blockchain has had a disruptive impact on several industries, beginning with the financial sector.

Samir Lambay
Samir Lambay, CEO and Co-Founder for Freightcrate Technologies
Apart from Finance, Blockchain has currently found successful application in the Jewellery sector, where it is being utilised to trace the origin of diamonds and eliminate fraud. The innovative use is termed ‘TrustChain’ and is a partnership among precious metals refiner Asahi Refining, jewellery manufacturer, precious metal supplier LeachGarner, retailer Helzberg Diamonds, and an independent precious metal verification service UL. The application facilitates the authentication of diamonds and precious metals and their tracking from the place of origin to the retail outlet.

Among logistics players, Maersk, the world’s largest container shipping operator, has partnered with IBM to explore Blockchain to streamline its global supply chain operations. Through this partnership, Maersk aims to develop a global digitised platform that offers efficient and secure methods for transportation of goods across global boarders and trading zones.

It is estimated that about $4 trillion worth of goods are shipped annually across the globe, 80% by ocean freight. This exponential increase in movement of goods has elevated the cost of documentation and administration of the process to one fifth of the physical transportation cost. The innovative application of Blockchain by Maersk will be based on open standards and is expected to create digital and secure system that can be used by the global shipping ecosystem.

How Blockchain works?

While efforts are already underway to organise supply chain management using Blockchain, here is a breakdown of exactly how and what will be the impact of Blockchain on the sector. Some key areas where the technology can add value include:
  • Keeping Records: This includes accurate recording of the quantity and transfer of assets - like pallets, trailers, containers, etc. - as they move between supply chain nodes
  • Real-time Tracking: Tracking of purchase orders, change orders, receipts, waybills, or other trade-related documents
  • Verification: Assigning or verifying certifications or certain properties of physical products, for e.g., determining if a food product is organic or fair trade
  • Labelling: Linking physical goods to serial numbers, bar codes, digital tags like RFID, etc. for efficient tracking
  • Transparent Process: Effectively sharing information about manufacturing process, assembly, delivery, and maintenance of products with suppliers and vendors.
Apart from the above mentioned tactical benefits, Blockchain technology is set transform the entire sector, with value additions like:
  • Enhanced Transparency: Accurate documentation of a product’s journey across the supply chain helps reveal its true origin and touchpoints on an open, easily accessible platform. This in turn helps build trust and eliminates the bias found in today’s opaque supply chains. Customers and Logistics Service Providers can, thus, share logs with OEMs and regulators, creating a transparent and trusted process
  • Greater Scalability: Virtually any number of participants, accessing from any number of touchpoints, can easily be added to the process, making it vastly scalable
  • Better Security: A shared, permanent and tamper-proof ledger with codified rules helps to potentially eliminate the multiple audits required by internal systems and processes
  • Increased Innovation: The decentralized architecture coupled with scalable, secure and transparent framework opens up vast opportunities to create new, specialized uses for the technology.
Container truck

Several companies, carriers and freight forwarders are already discovering ways to leverage these innovations to increase profits and strengthen relationships across the supply chain.

Samir Lambay, Co-Founder & CEO, FreightCrate Technologies, says, "Blockchain as a technology has a huge potential in cutting costs and creating transparent processes in the Logistics industry. Moreover, since Blockchain is highly secure and safe, it allows many intermediaries within the global supply chain, including transporters, customs authorities, shippers and carriers to communicate safely, cheaply and effectively with each other and the customer. Pilot projects are already being carried out by both carriers and large corporations and it is only a matter of time before the technology will be widely adapted in supply chain management."

Lifting & Specialized Transport — July - September 2018

Click Here
To Know More / Contact The Manufacturer
Please fill in your details, we will contact you as soon as possible
Choose Title from the listPlease let us know your name.
Please let us know your Designation.
Invalid Input
Please let us know your email address.
Please let us know your City.
Please let us know your Contact Number.
Please brief your query.
Our other value-added services:

To receive updates through e-mail on Products, New Technologies & Equipment, please select the Product Category(s) you are interested in and click 'Submit'. This will help you save time plus you will get the best price quotations from many manufacturers, which you can then evaluate and negotiate.

Equipment & Machinery
Invalid Input
Building Products
Invalid Input

Goldhofer & Universal Transport 40-Year-Old Tie Becomes Stronger

The oversized load and heavy hauling company Universal Transport of Paderborn is modernizing its wind power transportation fleet with 62 THP/SL-S (285) axle lines from the house of Goldhofer. With a vehicle width of Read More ...

India’s Logistics & Warehousing Abundant Opportunities

High-intensity focus on making India a global manufacturing hub has caused warehousing clusters to expand rapidly beyond the top cities and into tier 2 and 3 cities, reveals ‘Indian Industrial & Logistics – Gearing Up a Global Read More ...

Automation: Moving from Luxury to Necessity

Satish Shukla, Co-Founder & Head - Marketing & HR, Addverb Technologies, shares details of the company’s highly advanced intra-logistics automation solutions and plans to go global with their technology Read More ...

Performing a Ro-Ro Operation By Marco J. van Daal, Owner, The Works International

Ro-ro is short for “roll-on, roll-off” which covers both operations from shore to barge as well as from barge to shore. There is a significant difference between the roll-on and the roll-off operation Read More ...

Hofmann Kran-Vermietung is using »BLADES« to handle the latest generation of wind turbine blades

For transporting extra-long wind turbine blades, Hofmann Kran-Vermietung GmbH & Co. KG of Paderborn is now using the new »BLADES« blade hauler in combination with Goldhofer's self-tracking trailing dolly. The German company Read More ...

Anipsotiki S.A. places trust in Goldhofer’s FTV Blade Lifter to transport wind turbine blades

When it comes to erecting sustainable wind power plants in the windy regions of Greece, Anipsotiki S.A. (Aspropirgos/GR) is often the company of choice for turbine manufacturers and wind farm operators. In order to transport Read More ...

Faymonville - The new WingMAX for XXL Rotor Blades

Rotor blades are an elementary component of a wind turbine. The trend is towards increasingly large blades with a length of well over 70 m. Such XXL elements can be moved safely and economically to the operation site Read More ...

SPMTs from SCHEUERLE help Riga Mainz carry out exceptionally efficient bridge replacement

The IHT Ingenieur- Hoch- und Tiefbau GmbH / Arge Ersatzneubau EÜ Mainzer Straße in Darmstadt commissioned Riga Mainz to replace several aging Deutsche Bahn railway bridges. SPMT axle lines from SCHEUERLE along with a very special Read More ...

BIAL opens India’s first On-Airport Public Bonded Warehouse

As part of its vision to make Kempegowda International Airport, Bengaluru (KIAB/ BLR Airport) a successful cargo hub, Bangalore International Airport Limited (BIAL) has opened India’s first on-Airport Public Bonded Read More ...

Strata raises 140 crore for Warehouse investment opportunity amid lockdown

Strata, a tech-enabled fractional investment platform for premium Commercial Real Estate (CRE), has raised Rs. 140 crore for a consortium of three grade-A warehousing asset opportunities amid the Covid-19 pandemic Read More ...

Spectacular heavy transport over 1,400 km in Australia: SCHEUERLE WideCombi ensures high transport efficiency for Doolan's Heavy Haulage

Australian heavy-duty specialists from Doolan’s Heavy Haulage have transported two 160-ton crusher components using WideCombi axle lines made by SCHEUERLE. Due to the low dead weight and low height of the transport Read More ...

SpeditionTrettin has relied exclusively on MEILLER tippers for generations

Hans-Otto Trettin and his son Lukas chose the right time to reorient their company, as the future of the transport business for the mining industry looked bleak with the closure of the last mines. The mainstays Read More ...

Eicher launches BS-VI solution - EUTECH6; unveils new-gen vehicles across 4.9T- 55T

Leading commercial vehicle manufacturer, VE Commercial Vehicles Limited, (VECV) unveiled its entire BS-VI range of trucks and buses across 4.9- 55T tagged with Eicher’s innovative BSVI solution - EUTECH6. The new platform Read More ...

First Cometto MSPE delivery to Taiwan

The total volume for the Taiwanese equipment manufacturer includes two 6-axle modules type MSPE 6/4/2,43 with an axle load of 40t, two power packs with an output of 110 kW each, and numerous additional accessories. The complete Read More ...

Effect of COVID-19 on Road Logistics and Impact on Movement of Goods

The Transportation sector has been one of the primary victims of COVID-19. From rickshaw pullers to the airlines, all have been affected economically by the pandemic. India's overall energy demand fell by 14% in March-April 2020 Read More ...

Goldhofer’s new »STEPSTAR« semi lowloader gives higher payloads and greater flexibility

With the »STEPSTAR« series, Goldhofer has added a new generation of self-tracking semi lowloaders to its extensive range of heavy-duty and special transport solutions. The three- to five-axle semi-trailers offer haulage Read More ...

New Building Material & Construction World

New Building Material & Construction World
MGS Architecture

Modern Green Structures & Architecture

Modern Green Structures & Architecture

Lifting & Specialized Transport

Lifting & Specialized Transport

Indian Infrastructure & Tenders Week

Indian Infrastructure & Tenders Week