4 Supply Chain Problems That Blockchain Solves
The global supply chain crisis has forced businesses globally to look beyond traditional practices. Increasing challenges in the post-pandemic era demand flexibility, agility, and innovation. The rise of blockchain-integrated supply chain management platforms is fulfilling this demand while helping companies across the globe transform their supply chains. The demand for blockchain-powered supply chain management solutions continues to grow globally. In fact, the global blockchain supply chain market is projected to reach $ 9,852.91 million by 2025.
What Are The Major Supply Chain Challenges For Companies?
Lead Times: Consumers across the world expect faster delivery. Especially in the post-pandemic era, the rise of e-commerce has provided them with so many opportunities. Increased lead times or delayed delivery is one of the biggest challenges for companies.
Data Management: With most companies digitizing their supply chains, companies have to manage a huge amount of data. Managing this data effectively is one of the biggest supply chain challenges for companies.
Risk Management: To manage risks effectively, it is important to detect them on time. Given the involvement of so many intermediaries in traditional supply chains, timely detection of risk factors is another major challenge.
Lack Of Transparency: Lack of transparency is another major supply chain challenge that continues to hinder the progress of companies. Transparency is vital to enabling traceability and building an agile supply chain system.
How Blockchain-Powered Platforms Solve Supply Chain Challenges?
Companies across the world are adopting advanced technologies to automate their supply chains. With increasing lead times and delayed deliveries becoming a headache for businesses, automation seems to be an easy way out. However, automation alone can not solve all the problems. This is why companies are partnering with blockchain-powered supply chain management platforms. While reading about a similar platform called Morpheus.Network, I found out how these platforms work. Blockchain-powered platforms help companies integrate blockchain and other advanced technologies like IoT and artificial intelligence with legacy systems to overcome major supply chain challenges.
Blockchain-powered smart contracts facilitate the automation of supply chain operations while helping companies achieve transparency and end-to-end traceability. Integrating different technologies could be challenging for companies globally. Blockchain-powered supply chain management platforms eliminate this challenge by encapsulating various technologies into one integrated solution.