- Blockchain dramatically increases transparency and responsiveness, previously difficult and very expensive.
- It helps the end-consumer definitively identify if a product is manufactured by a given brand, ensuring authenticity and reducing counterfeits.
- It helps an organization quickly trace contamination to its source and mitigate against costly and potentially reputation-damaging mass recall of products.
However, as a new report from the Capgemini Research Institute, ‘Does Blockchain hold the key to a new age in Supply Chain transparency and trust?’ reveals that just 3% of organizations are implementing blockchain use cases on a large scale.
This means that the vast majority (87%) are at an early experimental or proof-of-concept stage. While 10% are at an advanced stage of experimentation, with pilots in at least one site
When asked about the drivers behind implementing blockchain technology respondents answered as follows:
Cost Savings – 89%
Enhanced Traceability – 81%
Enhanced Transparency – 79%
Increasing Revenue – 57%
Reducing Risks – 50%
Creating New Business Opportunities – 44%
Being Customer – 38%
The report examines the most popular use cases for manufacturing, consumer products and retail. For manufacturing managing suppliers is the reason for adoption. For consumer products it is the provenance tracking solutions that offer the most appeal. And retailers are focused on digital marketplaces and preventing counterfeits.