BLOCKCHAIN SMART CONTRACTS IN LOGISTICS INDUSTRY: A QUALITATIVE STUDY FOR ENHANCING LOGISTICS SERVICE QUALITY

Abstract

This study seeks to fill a gap in the understanding of how blockchain smart contracts may improve logistics service quality and investigate the drivers of blockchain smart contracts.Semistructured interviews were carried out with ten logistics professionals to collect data.According to the findings, the drivers of using blockchain smart contracts in the logistics industry comprised the strongest predictor amongst security, traceability, decentralization, transparency, efficient information sharing, and automation factors.The identified drivers of blockchain smart contracts could be used by logistics practitioners as a "road map" for the development of appropriate solutions to successfully strengthen logistics service quality within the logistics industry.The results indicate that blockchain smart contracts enhance payment transaction security, increase end-to-end visibility, and improve delivery timeliness.Moreover, this technology optimizes routing, advances fleet management, and reduces logistics costs.The existing literature focuses on the approaches to applying theoretical, technical, or operational benefits of blockchain smart contracts, but fails to propose a deep dive into logistics service quality.This research appraises blockchain smart contracts by assessing and suggesting how they can enhance logistics service quality.