In this digital era, every business has moved into the next phase with new innovative technologies like blockchain. Blockchain is adopted in various businesses like Supply chain, eCommerce, Finance, Education, Insurance, FMCG, and Healthcare.
here let us see how blockchain helps supply chain management
What is Supply Chain Management?
Supply Chain Management is the process of converting raw materials into a full finished product till the delivery to the user end. It involves a lot of middlemen in handling goods in the supply chain as it is a comprehensive process that uses more resources and time. It also has major drawbacks as a traditional supply chain.
To overcome the drawbacks of the supply chain blockchain can be utilized.
Blockchain is collections of computers, they share a distributed ledger for recording the transactions held over the blockchain, each transaction is recorded with a timestamp, transactions are viewable to the parties involved in the transaction. Blockchain has three unique features like Decentralization, immutable, and Transparency. These features help the business with their uniqueness.
Decentralization: It is a fact that it eliminates the central control entity, all the transactions are stored over the shared distributed ledger.
Immutable: All the transactions recorded on the blockchain can not be altered, as they are tamper-proof in the blockchain network.
Transparency: All the transactions held on the blockchain are viewable to the participants in the blockchain network.
Benefits of Blockchain in Supply Chain Management
Automating the purchase process
Improving performance
Securing
Traceability
Interoperability
Cost-Effective
EnhancedTrust
There are various business benefits of blockchain in supply chain management, to make your tedious supply chain business operations into an agile approach with the help of innovative blockchain technology.