At this time, the logistics industry is teetering on the brink of a complete transformation. Cutting-edge startups are emerging that are developing platform driven solutions that utilize IoT and blockchain technologies.
Blockchain technology lets you create a ledge of impressive assets and transactions which are time-stamped and secure. Stakeholders can even communicate in real-time. In addition, peer-to-peer transactions that involve shipments, payments, and invoices are now easy to track and far more visible. Information from a variety of sources such as supplies, consumers, sales channels, and underlying systems are being consolidated and digitized to create a firm network of communication.
At this time, the logistics industry remains fragmentized with inefficiencies commonplace. All of these problems drive up costs and cause problems with the reliability and resilience of the supply chain. Any savings that can be achieved can create higher margins. Blockchain technologies are a way to achieve great cost and resource perks across all avenues of the industry’s sectors.
Below are a few ways that blockchain is changing the logistics industry:
Speeding Up Accounts Payable and Receivable
Efficient invoice processing is a major struggle. The time it takes impacts a company, Suppliers and vendors all feel the brunt of the extended wait times. Many of these problems occur due to the time allotted to tedious manual processes.
Blockchain technologies do away with paper exchanges which bring down the costs substantially. Payment processing is simplified, and dispute resolution becomes seamless.
Transactions are authenticated with:
- Purchase Order (PO)
- Advance Shipment Notice (ASN)
- Sales Invoice (SI)
- Goods Received Note (GRN)
Improved Visibility
Blockchain platforms feature intelligent dashboards which effectively funnel data through a variety of sources in real-time so you can better visualize to make more effective decisions due to the improved visibility.
Containerized Shipping and Collaboration
Containerized shipping is now the ‘norm’. It has brought the globe closer together while inspiring trade across borders. Many factors play into the process such as freight forwarding agencies, port authorities, customs, and more. Documentation is required and has become very stringent. Blockchain technologies help to digitize the entire paperwork process and provide real-time data on the locations of shipments, the condition, and even the movement of goods to enhance visibility.
Most would agree that blockchain technology is improving supply chain operations and will continue to refine the process.
To learn more about logistics solutions, contact Sobel Network Shipping Co, Inc.
