Blockchain in Supply Chain and Domestic Delivery Service: Benefits and Use Cases in India



Blockchain in Supply Chain

Do you know how a new courier service wefast.in works? What are all the elements of the complete cycle? Why is Blockchain gaining importance in supply chain and domestic delivery service? Well, here are you going to find all about it.

Logistics is sure to make increasingly extensive use of technologies such as Blockchain, IoT, and AI. Thanks to technology, the connected logistics market is expected to grow globally to over $40 billion in 2021, with a mean annual growth rate of 33%.

It follows that all the players in the logistics system (i.e., port, shipping, and logistics) must be able to meet the challenges and manage the risks that new technologies entail, to make the sector more efficient, resilient and competitive.

The Relevance of Blockchain in Supply Chain and Domestic Delivery Service

Blockchain infrastructure can revolutionize corporate logistics, especially in the field of transport document management (i.e., invoices, delivery notes, etc.) and the traceability of goods (from the origin of products to the fight against counterfeiting, to the monitoring of vehicle fleets, etc.).

The documents and physical assets, with the Blockchain, are converted into digital objects that find a unique representation in the distributed ledger.

A shared register that allows each logistics actor to add the data generated by their systems on infrastructure capable of storing all information. It is in terms of transactions - as well as providing tracking of the movements of the supply chain. Moreover, that too, without the need for any intermediation and, most importantly, securely and automatically.

As already happens with cryptocurrencies - which allow the ownership and possession of the corresponding value to be in transfer and exchanged between users through the so-called token - we will witness the birth of a crypto asset.

Each physical asset, i.e., pallets or containers, will have a digital twin, a token corresponding to a processing unit. In this way, it will be possible to exchange each unit of ownership - legally or at least binding - without contacting intermediaries to verify their authenticity.

The import/export procedures will benefit from the advantages generated by the implementation of the Blockchain platforms in terms of speeding up the steps and exchanges, which today take place in less efficient and fragmented ways (i.e., e-mail, software applications and communication tools of various types).

Also, vehicle fleet management solutions based on Blockchain platforms are spreading. They have integrated with IoT peripherals installed onboard the trucks. It can automatically send confirmation of take-over, transport temperature, and unloading of goods and other data such as unloading times and further information on returns and withdrawals.

What are the Benefits of Blockchain in Supply Chain and Domestic Delivery Service?

As we have seen, the world of logistics remains bound by the management of paper documents, and often the existing digital systems are obsolete or require a complete overhaul. Decision-makers often don't have all the information they need to make accurate decisions; a result is a fragmented approach to the supply chain and logistics management with economic losses and evaluation errors along the supply chain.

Blockchain platforms can make logistics safer and more efficient by monitoring deliveries, the history of the process, and geolocation of the asset on an interactive map. It is thereby scanning QR codes, displays the updated delivery statistics in real-time, and ensures greater transparency of the documentation of the supply chain process.

In summary, the Blockchain can guarantee:

  • Greater data transparency: the digital ledger allows you to record all data, as if they had been verified by all the actors involved, providing a history of transport transactions, guaranteeing the transparency and reliability of the data.
  • Smart contract: as a way to create, sign and fulfill agreements and avoid intermediaries, thus reducing costs
  • Secure data thanks to decentralization: there is no single access point that allows any user to make changes unilaterally. Additionally, blockchain networks can employ cryptographic measures to make changing the sequence of data almost impossible.
  • Reliable permission-based access: the various levels of access to information are established, thus guaranteeing greater data security and allowing all parties involved to access the information they need to carry out their work.
  • It provides the clarity in asset management: the ability to track assets and manage changes of ownership at all times, keeping information on ongoing transfers available.
  • It allows scalable order management solution: the ability to manage the management of a logistics network smoothly.
  • Real-time asset monitoring: using IoT devices and mobile-based technology creates a system for real-time delivery monitoring.

Blockchain Use Cases in India

As we look at the size and the population of India, one thing is crystal clear. It is that there must be a proper system that will organize the supply chain and domestic deliveries.

If there is not any presence of such systems, the whole system is just going to become messier and hard to manage. Therefore, now there is an emerging wave of Blockchain in the Indian market as well.

If we look on a deeper note, we can easily make out that companies such as Walmart are using this technology intensively. In India, there are a few organizations that are in use cases in India. These include Primechain Technologies, Imaginovate, and Signzy.

Therefore, one this is certain with which we can be sure of is that there will be an increasing number of uses of this technology in the domestic deliveries in India.

Conclusion

Blockchain infrastructure can revolutionize corporate logistics, especially in the field of transport document management (i.e., invoices, delivery notes, etc.) and the traceability of goods (from the origin of products to the fight against counterfeiting, to the monitoring of vehicle fleets, etc.).

If there is not any presence of such systems in India, the whole system is just going to become messier and hard to manage. Therefore, now there is an emerging wave of Blockchain in the Indian market as well.

Therefore, these all are the benefits of Blockchain in supply chain and domestic delivery. Moreover, these are the use cases in India as the industry is continuing to grow.