Enhanced Transparency And Security With Blockchain Tech
Having first attracted attention as the technology underpinning virtual currencies, blockchain is now revealing an extended set of possibilities beyond the financial realm.
What is blockchain?
The fact that blockchain data is shared among network participants means that information is easily traceable, a highly beneficial characteristic that allows for the advancement of smart contracts and the effective recording and management of transactions.
The financial industry was the first to introduce blockchain back in 2015. Fast-forward a few years and other industries are reaping the benefits too – logistics being one of them. Blockchain has even been put to use by global humanitarian agencies to swiftly send relief resources to refugees and those in need of aid across the globe.
Making use of blockchain technology in the logistics industry
The information that can be added to a blockchain is not limited to package conditions. It could include photo IDs for delivery personnel and procedures for pick-up and delivery, strengthening security and reducing the chance of theft.
Better visibility of performance would lead to greater supply-chain efficiency, both by logistics departments and partner companies. Blockchain also makes it easier to identify redundancies and other issues in intermediate distribution. And the improved ability to monitor fluctuations in demand and transportation volume should give rise to new ideas to do business.
FedEx handles millions of records each day, and our experiences have led us to think of blockchain as a secure chain of custody that could transform the logistics industry. With such goals in mind, we’re engaged in extensive trials with the goal of achieving greater transparency throughout the supply chain.
And at the FedEx Institute of Technology, established in 2003, we work with the University of Memphis to conduct leading-edge research in 12 fields, including AI, automated systems, cyber-security, and of course blockchain.
While blockchain tech is still in its relative infancy, leveraging the technology effectively in the logistics space will require cooperation with a range of organizations and businesses. At FedEx, we’ll be watching closely to see how we can play a leading role in the advancement of this technology – for the benefit of all.