Blockchain is one of the key technologies that have potential to completely change the rules of supply chains. In connection with the increasing complexity of supply chains and using services of various external partners, blockchain seems like an optimal solution for exchange of data and documents, as well as communication within the entire ecosystem. 

Even though blockchain offers numerous unquestionable benefits, most companies approach its implementation cautiously. According to the study of Capgemini, only 3% of organizations use this technology on a larger scale.

For instance, blockchain offers a solution to these problems:

  • Blockchain fundamentally increases transparency and responsiveness of the whole system which used to be hard to reach and quite costly.
  • It provides the end user with certainty that the product was really created by the given brand, while securing authenticity and eliminating counterfeits.
  • It enables the business to quickly track down contamination or another problem right in its source and therefore, prevent an expensive and potentially dishonoring mass withdrawal of their products.

What results has the research brought?

As the final report of the company Capgemini, with the title “Does blockchain hold the key to a new age of supply chain transparency and trust?”, states, only 3% of companies use blockchain on a larger scale. Another 10% of respondents rated the state of implementing blockchain in their systems as an advanced stage of experimentation or testing on pilot projects. The remaining majority of respondents (87%) is at an early stage of considerations and experiments. 

The most common reasons for blockchain implementation

The respondents (89% of them) state cost saving as the main reason for blockchain implementation. Better traceability and transparency (approximately 80%), turnover growth, risk elimination and finding new business opportunities follow. In terms of consumer products, the greatest benefit of blockchain is the ability to trace the true origin of goods. Retailers also often mentioned the interest in the digital market and counterfeits reduction.

Even though blockchain is not yet used on a mass scale, successfully realized projects of its implementation imply great potential in terms of cost savings, transparency and maximum trust, as well as creation of completely new operation models.