TopsOnline brand seat covers are professional grade, and are made to exacting factory style specifications. Subscribe to Our Email Newsletter. This can be concerning because if many organizations are cautiously waiting to see how the use of blockchain technology plays out within supply chain, the number of partners willing to adopt the technology is limited. Click here to learn more. Our records show that you are currently receiving a free subscription to Supply Chain Management Review magazine, or your subscription has expired. They have applied the technology to tasks such as tracking shipping containers and food products, as well as for more traditional uses such as facilitating financial transactions. There are also financial resources to consider.
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These results indicate that some organizations are considering both established and new ways to apply the security and structure of the technology within the supply chain.
As shown in Figure 1, respondents who are unsure make up the largest group. Organizations keeping up with technology trends seem to have high hopes for blockchain and recognize that they could directly benefit from the technology, but they hesitate to commit to making an investment in the near future. Because there is not yet wide use of blockchain technology, these organizations are waiting to see how others apply it before deciding to invest in it themselves.
Despite the uncertainty around adopting blockchain in the immediate future, participants in the research recognize a variety of potential applications for blockchain technology. Beyond that, respondents see potential opportunities specifically within supply chain. They indicated that the second biggest opportunity is visibility into product tracking and integrity, followed by logistics, visibility into supplier compliance and self-executing or smart contracts.
Organizations also recognize that adopting blockchain has its barriers. As shown in Exhibit 2, the most widely held concern among organizations is finding people with the necessary skills to use blockchain technology. The adoption of blockchain presents a shift away from how organizations have stored and shared data. Because it has yet to be widely adopted, organizations may struggle to find qualified staff who can help them initiate and sustain its use.
The barrier rated a close second is the adoption of the technology by other companies, which is a great concern given that the use of blockchain by business partners is essential. This can be concerning because if many organizations are cautiously waiting to see how the use of blockchain technology plays out within supply chain, the number of partners willing to adopt the technology is limited.
As is the case with other new technologies, few organizations want to be the first to jump into the pool. Other potential barriers indicated by organizations are standard fare for implementing new technology: There are also financial resources to consider.
Organizations can only adopt a new technology if they can make the investment. Despite concerns about finances, less than one-quarter of respondents consider insufficient return on investment to be a barrier.
This indicates that organizations view blockchain as a worthwhile investment, but that financial constraints may make the investment in any new technology difficult. Blockchain technology presents an opportunity for organizations to create a shared network that builds on supply chain systems and processes already in place. In fact, several large organizations are already using blockchain technology for their supply chains.
They have applied the technology to tasks such as tracking shipping containers and food products, as well as for more traditional uses such as facilitating financial transactions.
As shown in the research conducted by DSCI and APQC, some organizations have started considering how blockchain can help their operations and which areas of the supply chain would benefit most. As one of its initial steps, an organization considering blockchain should evaluate the types of relationships it has with its business partners and whether both they and those partners have the technological capability to adopt blockchain. If the partners are indeed able and willing to participate, it can be a way to strengthen those relationships while improving efficiency, security and performance.
There is uncertainty among organizations as to whether they will be willing to dedicate the staffing and technology resources to adopt the technology. Some of this hesitation is related to the largely uncharted waters of applying blockchain to supply chain processes. Organizations would do well to make sure they understand the investment required as well as the full scope of what they will need to do to establish a blockchain network with their business partners.
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