The pandemic has stirred the way in which global supply chains operate, it could be the nudge needed for Blockchain to become common place and revolutionise the way in which we do international business.
Blockchain has the potential to improve global supply chains, and COVID-19 is likely to propel this technology in to global adoption. With global air travel at all time lows due to quarantines, lockdowns and travel restrictions, buyers are finding it increasingly difficult to keep tabs on their suppliers. Especially during a crisis such as this pandemic, buyers must know as soon as possible when there may be a problem with their supplier and if the should begin looking for new ones.
So what is the issue? The main factor that is affecting global supply chains is that many companies still deal with paper processes. Paper processes are used by logistics and supply chain companies for invoicing, packing lists, detailed order requirements and price lists. This style of business helps maintain confidentiality, - which is important as these companies prefer not to reveal much of this information to their customers.
How can Blockchain help? Blockchain will streamline this process, maintain security and revolutionise the processes. Suppliers can reveal information to customers only when strict, pre-determined parameters are met - maintaining control over their internal data.
Why are we not doing this yet? Blockchain smart contracts have been around for sometime now, but there has never been an impact so great on the global supply chain like COVID-19 before for businesses to move away from their tried paper processes. Hopefully, this pandemic will propel these businesses in rethinking their, stale, slow and archaic processes.