Understanding the role of distributed ledger based smart contracts in the supply chain: A literature review

Abstract

The use of distributed ledger-based smart contracts in supply chain operations offers promising opportunities for process automation, improved data accessibility, and enhanced transparency. Despite technical progress, there remains a lack of comprehensive understanding regarding their implications. This scoping review consolidates current knowledge to examine how smart contracts affect supply chain structures and operations. The results highlight their potential to reduce intermediaries, foster trust, lower transaction costs, and support the shift towards decentralised and collaborative supply networks. The study contributes by identifying implementation challenges and synthesising both benefits and barriers. It also presents actionable recommendations, including aligning organisational processes, developing standards, and addressing behavioural factors. Finally, a research agenda is proposed to guide future studies and close gaps in empirical and conceptual understanding.