HAIDRUN USE CASES
Blockchain Supply Chain:
A drive towards transparency
Every business has a supply chain. It can involve the linkage of parts, products, services, processes, individuals, departments, organisations and companies; almost any key component of the business. Supply chains are critical and supply chain management is essential for a successful, profitable enterprise. Yet there is a huge and variable array of technologies supporting those linkages. People and processes still connect using phone calls and faxes through to email, spreadsheets, phone apps and latterly, the Internet of Things, artificial intelligence and machine learning.
Wherever you are on your digital transformation journey, you can embrace our private blockchain technology to reduce your supply chain costs, build transparency and improve security.
Analysts agree that blockchain technology will be the enabling platform to provide full end-to-end digital connectivity across the entire supply chain.
Blockchain – the perfect vehicle for supply chains
Blockchain is a digital transaction ledger – a growing list of records called blocks, which are linked using cryptography. It is a distributed database that can record transactions between two parties efficiently and in a verifiable and permanent way. The blockchain records transactions in blocks across several computers so that the record cannot be altered retroactively without breaking the cryptographic signing of each block. While blockchain was originally associated with Bitcoin and enabling the management of cryptocurrencies, the fundamental concept is to manage ANY transactions, digitally.
There are four main properties of blockchain that make it a perfect vehicle for supply chains and supply chain management.
Corruption in the supply chain is a significant management challenge and can take many forms including provenance, fake goods, number of items and payments. Fortunately, one of the intrinsic features of blockchain technology is the security of the data. It is cryptographically and chronologically sealed into blocks making the data extremely secure and difficult to get at.
The inherent immutability in blockchain means that no one can change any of the data once it has been added. But mistakes happen and private blockchains offer a way for data input errors to be corrected – not possible for public networks. With both networks, the transaction needs to be verified, and the users of the network will be in control. Even if someone tries to make changes to the data, it would cause an avalanche effect. This would alert the relevant authorities immediately, preventing any internal or external hacking into the system.
Private blockchains not only provide the privacy you need but also the transparency, where anyone on the network is accountable for their actions. Any activity in the supply chain based on a private blockchain platform can be visible or selectively visible by the designated authoritative personnel.
Decentralisation is a core concept of blockchain technology. This means that any type of data on the ledger does not have a sole owner but rather, everyone on the blockchain owns a part in it. In a supply chain, the challenges are usually around falsification of data where procurement, suppliers or shippers are not always trustworthy and honest. They often falsify the data and it is difficult to prove the data is not authentic. With blockchain systems, anyone making changes is always identified and consensus must be reached on the changes.
Enterprise blockchain platforms can provide traceability, end-to-end connectivity, real-time logistics tracking, electronic funds transfer and smart contract management. Processes including negotiations support and procurement can also be connected via blockchain to build trust and confidence with new suppliers, partners and colleagues.
The number of different systems, processes and technologies used to run any given supply chain is almost too large to comprehend. But digital transformation will converge on a limited set of enabling technologies. The Internet of Things, AI, big data, advanced analytics, cloud computing, 3D printing and blockchain, will be the basis for advanced development and deployment of the digital supply chain.
Choosing the right blockchain technology platform
Given the investment requirements, we have so far only seen the largest supply chain companies becoming early adopters of blockchain technology. To make this a more accessible capability for companies of any size, our Haidrun blockchain was developed to lower the costs and barriers to implementation.
The intrinsic features of private blockchains can solve many of the challenges found in the existing supply chains, however, the Haidrun enterprise platform also solves many limitations of the early generation blockchains too. Our Haidrun platform uses the latest generation container-based architecture to deliver the scale, speed and efficiency required for enterprise applications as well as the ability to be deployed locally, in an on-premise data centre or in a cloud setting. The platform can be easily integrated into other blockchains and enterprise platforms using its dynamic block sizing and standard REST APIs.
As well as supply chain, other sectors including healthcare, telecoms and insurance are finding valuable use cases for private blockchains to upgrade insecure and costly databases, payment platforms and digital systems. You may be surprised to find that some major enterprises have already started to incorporate blockchain, including Walmart, Pfizer, AIG, Siemens, and Unilever. But others have held back, waiting for more secure, cost-effective and private blockchains. We have developed the Haidrun private blockchain platform specifically to meet these enterprise challenges.
Speak with our industry leading experts today on how our Haidrun Private Blockchain can benefit your enterprise.