IoT and Blockchain - A New Paradigm for Supplier Management in Manufacturing Plants

Abstract

This paper discusses how the combination of Internet of Things (IoT) and Blockchain technology can create a new paradigm for supplier management in manufacturing plants. IoT enables the comprehensive digitalization of an entire manufacturing plant while providing a trove of data about the daily operations and performance of suppliers, machine performances, and other related activities. Blockchain technology provides a distributed ledger technology to store, share, and manage this data with trust and security, ensuring that all stakeholders within the supply chain are accountable and have an immutable record of their activities and performance. The paper discusses the potential opportunities and benefits that this new paradigm promises for manufacturers through improved supplier management, automated processes, reduced costs, and enhanced transparency. It also examines the challenges associated with making this system functional such as legal issues, system integration, and security concerns. Finally, the paper provides an overview of potential uses of this technology and concludes with a discussion of the future prospects of using IoT and Blockchain in supplier management.