The first question that companies or supply chain management teams considering using blockchain technology should ask themselves is, “Should I use a database instead”? The straight answer is: Yes, but only if you don’t share valuable or vulnerable information. If you need to collaborate or share large volumes of valuable data, blockchain is definitely the best way to do it.
Blockchain technology can help streamline data storage and management, the benefits of the multi-stakeholder supply chain, and it can help build trust through traceability and transparency.
Streamlined data storage and management
First, let’s think about the facts: no business wants to allow other people to search its database, and no successful business can run the risk of relying on the data stored in the database. someone else. This is where blockchain technology can benefit supply chains.
The blockchain network is constructed in such a way that no data is recorded in the files until the majority of participants agree that it is “valid”. This validity check is done via an intelligent system where computers work together to process and cross-check each transaction. This whole process is based on the creation of a “data lake”, which is essentially a large pool of unstructured and structured stored data that allows multiple collection and access points.
By using blockchain in this way, companies can ensure that they only store data that has already been validated by all participants in their supply chain. This eliminates the need to recheck data, thereby streamlining the business data management process.
For context, let’s look at a real example involving meat shipments. Using blockchain technology, a consumer who wants to buy imported beef can view all of the associated data confirming the origin of the beef. They can view key information about where the animal was raised, data on the farm, what the animal was fed and, in Australia, they can even access certified documentation from government agencies such as Meat & Livestock Australia (MLA). In addition to this, Internet of Things (IoT) data regarding heat, humidity, GPS and other factors are also available, which can confirm the conditions under which the goods were shipped or warn participants in case anomalies. It also highlights the true potential of blockchain technology to guarantee producers can protect their brand from counterfeit products and reassure consumers that the products they buy are legitimate and safe to consume.
Benefits of the multi-stakeholder supply chain
A multi-part supply chain is another great example of where it makes sense to have a data lake that every participant can count on.
To demonstrate what we mean, let’s take a look at the medicinal marijuana industry. At present, Aglive is part of a study of the medicinal cannabis industry by the New South Wales Department of Primary Industries, which aims to ensure that patients receive safe doses for treatment. This industry-led study was launched by Cann Group Limited, which is the first company to obtain a medical cannabis license and a cannabis research license from the Australian government. Our experience has shown that the medical cannabis supply chain industry is complex in Australia because different states have different laws. It is therefore difficult for industry participants to ensure that the drugs dispensed are safe, comply with applicable laws, and are delivered safely. In addition to these supply chain issues, there are also additional laboratory test results that are crucial to ensuring safe and reliable dosages.
Over time, this data needs to be exchanged with other medical blockchains that manage related information such as prescriptions, pharmacy records and patient records. This process is called “interoperability,” which basically describes the need for data to flow freely between different blockchains. It’s a bit like booking a hotel: you just want a room in this city. It doesn’t matter which systems collect information or how it gets to you. At the end of the day, all you care about is the outcome, not the process. This same idea applies to how blockchain technology can be used in supply chains, including those in the pharmaceutical industry.
Build trust through traceability and transparency
Finally, blockchain technology improves traceability and transparency in data management. We saw this through the examples of the beef industry and the pharmaceutical industry above.
Likewise, traceability and transparency along the supply chain now mean that consumers can be sure they get what they paid for. Food fraud is a growing concern worldwide, with the media reporting several significant cases in the past decade. For example, last year’s “fake fish” scandal in New York revealed high levels of seafood fraud in state supermarkets. With the emphasis now on regulatory compliance and supply chain reliability, it is more important than ever that companies adopt blockchain technology to ensure that they properly monitor their goods throughout of their supply chain. There is now a higher social expectation for transparency and traceability, all of which can be provided by blockchain technology. By adopting new technology, businesses can allow consumers to verify the origin of their purchased products and ensure that they come from a reliable source.
So where from here?
Technology continues to change many aspects of our lives. The pace of this change is accelerating, and the changes are now making their way into the most mundane areas of life. It doesn’t just affect the way we buy and sell goods and services; we are now changing the basic processes of how we conduct our daily business. The duplication, waste and frustration of paper-based data management systems will soon be bypassed by efficient and cost-effective processes that also offer greater certainty.
In a world where food fraud is becoming a growing concern, it is imperative that businesses are aware of the risks associated with traditional databases. Producers can (and should) rely on blockchain technology to protect their brand from bogus products, which in turn will assure their customers that the products they buy will not harm their customers. relatives.