Against the backdrop of the booming supply chain finance and logistics industry, Logistics 4.0 has emerged. However, the financing capacity of today's logistics companies is still unable to respond to the needs of the rapid development of the supply chain. On the one hand, the problem of logistics companiesā lack of existing high-value collateral in supply chain finance has led to a clutter of their credit data and difficulty in verifying their creditworthiness. On the other hand, the massive access to logistics companiesā business information can also lead to privacy leaks. At the same time, the transparency feature of blockchain is used to solve the financing dilemma of many industries in supply chain finance. On this basis, we propose a blockchain-based financing scheme (BFS) for logistics company. BFS utilises more efficient and interpretative smart contract technology, as well as improved privacy information query and invocation algorithms, to realise automatic control of entity node privacy information flow and significantly simplifying the steps and lowering the thresholds to financing for logistics companies, while protecting the privacy of their data. After extensive simulation testing, BFS can run supply chain blocks at a stable transaction throughput of around 280 RPS, with data transfers that meet the financing needs of logistics companies, providing a higher and more stable performance than the native Hyperledger Fabric.
Naoum Tsolakis, Roman Schumacher, Manoj Dora, Mukesh Kumar
Digitalisation is expected to transform end-to-end supply chain operations by leveraging the technical capabilities of advanced technology applications. Notwithstanding the operations-wise merits associated with the implementation of digital technologies, individually, their combined effect has been overlooked owing to limited real-world evidence. In this regard, this research explores the joint implementation of Artificial Intelligence (AI) and Blockchain Technology (BCT) in supply chains for extending operations performance boundaries and fostering sustainable development and data monetisation. Specifically, this study empirically studied the tuna fish supply chain in Thailand to identify respective end-to-end operations, observe material and data-handling processes, and envision the implementation of AI and BCT. Therefore, we first mapped the business processes and the system-level interactions to understand the governing material, data, and information flows that could be facilitated through the combined implementation of AI and BCT in the respective supply chain. The mapping results illustrate the central role of AI and BCT in digital supply chains' management, while the associated sustainability and data monetisation impact depends on the parameters and objectives set by the involved system stakeholders. Afterwards, we proposed a unified framework that captures the key data elements that need to be digitally handled in AI and BCT enabled food supply chains for driving value delivery. Overall, the empirically-driven modelling approach is anticipated to support academics and practitioners' decision-making in studying and introducing digital interventions toward sustainability and data monetisation.
(1) Background: With the development of blockchain technology and fierce competition between tourism platforms, tourism platforms can adopt blockchain technology to disclose product information to enhance their core competitiveness. As for a tourism O2O, i.e., online to offline, supply chain, the tourism platform sells the product online, and the tour operator provides services offline. (2) Methods: We establish a game theory model and study the optimal strategies of supply chain members in two scenarios (decentralized and centralized) when the online platform does not adopt or adopts blockchain technology. Then, we introduce a two-part tariff contract for coordination. Furthermore, we discuss the impact of the cost of adopting blockchain technology, disclosing information and the proportion of information-sensitive consumers on the optimal strategies. (3) Conclusions: When the costs of adopting blockchain technology and information disclosure are low, if the proportion of information-sensitive consumers is large, adopting blockchain technology is beneficial to supply chain members. Compared with a wholesale price contract, a two-part tariff contract can encourage the platform to improve information disclosure quality, so the tour operator can adjust their cooperation contract to achieve Pareto improvements. Under a two-part tariff contract, the tourism platforms are more likely to disclose information and can effectively regulate the operational performance of the tourism O2O supply chain.
Purpose This paper aims to analyze the benefits of the blockchain to the circular economy (CE), which is composed of both closed-loop supply chain (CLSC) systems and reverse omnichannel solutions. By ensuring transparency, traceability, visibility and security, the blockchain allows firms to acquire operational capabilities through a CLSC and service capabilities through a reverse omnichannel, which can boost business performance considerably. The related network of relationships can be reinforced by establishing incentives, which entail both smart contracts in the blockchain and active return approaches in CE. Design/methodology/approach After identifying the boundaries of the theoretical framework, several research hypotheses are developed according to the literature review and emerging gaps. These gaps link to the impact of the blockchain on CE systems (CLSC and reverse omnichannel), as well as the influence on business performance. The hypotheses are then tested using structural equation modeling and adopting a partial least squares-path modeling technique on a dataset composed of 157 firms. Finally, multigroup analysis is used to test the impact of incentives on the research hypotheses. Findings The blockchain facilitates a more efficient CE system, although reverse omnichannel solutions seldom bring any benefits to performance. The shift from a passive to an active return approach must be carefully evaluated. The CLSC network can benefit from an active return approach by developing appealing incentives for collectors and enhancing the positive effects of the blockchain. In contrast, consumer incentives can have detrimental effects on the blockchain. Various combinations of incentives can only bring a few business performance increases, while collector incentives are vital to reinforce the CE system's operational and service capabilities. Originality/value This paper takes a new approach toward the study of CE, which considers a dual circular system composed of a CLSC and a reverse omnichannel. The research explores whether the adoption of blockchain technology enables better return processes by improving the operations in CLSC and services in reverse omnichannel. Finally, this is the first empirical work to evaluate the benefits emerging from incentives, which can activate smart contracts in the blockchain and enable active return approaches in CE.
There are hypes towards blockchain-based traceability systems (BCTS) both from academia and industry. This paper discusses challenges and policy recommendations for BCTS from a viewpoint of industrial application and market competition. First, the potentials of BCTS and the gaps between the ideal and the reality of BCTS are elaborated. Second, we discuss the applicability of BCTS. Third, by a game-theoretic model, we study when supply chains should invest in BCTS. Investment is recommended when investment cost is relatively low compared to the price and market competition is less intense. A prisoner's dilemma arises when investment cost is at a moderate level.
Abstract Supply chains around the globe are faced with difficulties and disruptions due to the worldwide pandemic situation and digital solutions are needed. There is significant research interest in the implementation of blockchain technology (BCT) for supply chain management (SCM). A challenge that remains is analyzing the interactions of BCT in different areas of SCM. This study aims to identify the influential dimensions of the impact of BCT adoption in SCM and to discuss the synergetic and counter-synergetic effects between these dimensions. Advantages, disadvantages, and constraints of adopting BCT in the SCM context are explored through a systematic literature review, which provides the foundation for identifying the dimensions of impact. The interactions between these dimensions are conceptually discussed. This study introduces three dimensions of the impact of implementing BCT in SCM: āoperations and processesā, āsupply chain relationshipsā, and āinnovation and data accessā. These dimensions are interrelated and have overlapping areas within them, which leads to synergetic and counter-synergetic effects. The overlaps and synergies of the three dimensions of impact are illustrated, and the virtuous and vicious cycles of BCT adoption in SCM cases are highlighted. This study assists scholars and practitioners by clarifying the synergetic relationships within the dimensions of the impact of BCT in SCM and by providing considerations to prevent undesirable effects and expand desired ones.
In the development of traditional supply-chain finance, the information asymmetry of all parties in the supply chain has become the primary problem hindering its development. Blockchain technology is an effective method to solve the problem of information silos. Based on differential game theory, this paper constructs a game model of supply-chain financial information-sharing behavior based on blockchain technology. Three scenarios of independent decision, the cost-subsidy mechanism of financial institutions, and dealers and collaborative decisions are studied, and the theoretical model is verified through a simulation algorithm. The results show that information sharing in supply-chain finance based on blockchain technology is much higher than that of traditional supply-chain finance, and the use of blockchain technology can promote more sustainable development of supply chains. Blockchain technology can effectively solve the information-silo effect, and the information sharing cost-subsidy mechanism can effectively relieve the cost pressure of information sharing and optimize the supply-chain structure. In addition, the amount of information and benefits shared among the three parties of supply-chain finance based on blockchain technology and the overall benefits show an increasing and stabilized trend over time. This study provides a reference for supply-chain finance members to reasonably choose the optimal strategic behavior.
Shusheng Ding, Tianxiang Cui, Xiangling Wu, Anna Min Du
A Central Bank Digital Currency (CBDC) launched by the Bank of England could enable businesses to directly make electronic payments. It can be argued that digital payment is helpful in supply chain management applications. However, the adoption of CBDC in the supply chain could bring new turbulence since the CBDC value may fluctuate. Therefore, this paper intends to optimize the production plan of manufacturing supply chain based on a volatility clustering model by reducing CBDC value uncertainty. We apply both GARCH model and machine learning model to depict the CBDC volatility clustering. Empirically, we employed Baltic Dry Index, Bitcoin and exchange rate as main variables with sample period from 2015 to 2021 to evaluate the performance of the two models. On this basis, we reveal that our machine learning model overwhelmingly outperforms the GARCH model. Consequently, our result implies that manufacturing companiesā performance can be strengthened through CBDC uncertainty reduction.
Blockchain and distributed ledger technology (BC/DLT) provides distributed databases with decentralized governance, tamper-proof recording, high availability and non-copyable digital assets, which have made it a natural technological basis for supply chain management. In this paper, we introduce REALISTIC, a novel event-based modeling framework for supply chain networks (SCNs) that includes production processes . It extends McCartyās Resources-Events-Agents (REA) accounting model with secure transformations , which, across the entire SCN, guarantee that certified output resources cannot be digitally produced ex nihilo , but require certified input resources of at least the same amount as what is produced. This generalizes the no-double-spend guarantee of current BC/DLT to (digital twins of) physical resources and their production. Authenticated human or robotic Internet of Things (IoT) actors digitally sign and cryptographically commit to the veracity of real-world events on an immutable database, without having to take responsibility for their aggregate consequences. User-specifiable interpretations, corresponding to queries and analytical functions in database systems, provide auditable aggregate information computed from recorded events across the entire SCN. This includes fine-grained and trustworthy tracing of final products through multiple stages of production processes, semi-finished products, quality certifications and transportation all the way back to their raw materials. We present a case study for an end-to-end coffee supply chain that tracks fine-grained and detailed information from a farmerās coffee cherries to retail coffee bags, involving all its actors. Our model handles product provenance; auditable sustainability, quality and trade information; production processes from parchment via green to roasted coffee; product quality tests; farmer certifications; and transportation across the entire coffee supply chain. It is based on field work involving farmers, cooperatives, processors, traders, importers, and a major roasting company stretching from Colombia to Scandinavia. Its REALISTIC-based modeling is the foundation for the design of our prototype implementation, which includes Ethereum blockchain code, RDBMS-based server code and a web app client. Their source code is publicly available on GitHub.
The growing demand for transparency and trust in supply chain systems has accelerated the adoption of decentralized technologies capable of delivering tamper-proof and verifiable transaction histories. This paper presents a blockchain-integrated framework built on .NET and Azure Confidential Ledger to enhance supply chain visibility and traceability across distributed logistics networks. The proposed system leverages the immutability of blockchain and the confidentiality guarantees of trusted execution environments to securely record and validate every logistical eventāfrom procurement to final deliveryāwithout exposing sensitive operational data. By integrating Azure Confidential Ledger with ASP.NET Core microservices, the framework ensures secure data logging and access control while maintaining compatibility with enterprise-grade identity and authorization mechanisms. Data is ingested through RESTful APIs and processed using Entity Framework Core for transactional integrity. A modular architecture allows easy extension into existing logistics platforms while providing real-time dashboards and alerting via SignalR and Power BI. Experimental evaluation demonstrates the systemās efficiency in handling concurrent events, maintaining low latency, and preventing unauthorized data modifications. This study offers a scalable and privacy-preserving design pattern for organizations aiming to modernize supply chain management using blockchain technology in secure cloud environments, establishing a foundation for future innovations in decentralized logistics infrastructure
Abstract Maritime supply chain (MarSC) stakeholders interact with third parties (e.g. freight forwarders, 3PLs, financial institutes, custom authorities) to facilitate the cargo flow and exchange of information, documents, or financials. Hence, MarSC stakeholders are increasingly interested in innovative technological solutions that vouch for the authenticity and/or the ownership of digital assets without the control of a central third party. Extended research is carried out to prove how applications based on the distributed ledger technology or blockchain address these requirements, yet limited research investigates their purchasing process and economic implications. This paper uses the phytosanitary certificate in an international supply chain flow as a case study where interaction between multiple stakeholders is fundamental and analyses the purchase scenarios of a blockchain-based tool. To do so, it uses a theoretical model that identifies and quantifies the costs and benefits incurred by MarSC stakeholders, formulates gain-sharing scenarios and presents the results of a sensitivity analysis to show the dependence between the data-use and the potential economic gains it generates. The results show that freight forwarders could share economic benefits with shippers or consignees to anticipate purchasing a blockchain-based tool.
A logistics service integrator (LSI) usually requires a logistics service provider (LSP) to carry out smart transformation in order to improve the level of logistics service. However, LSPās smart transformation faces uncertainty in terms of investments and income, which seriously hinders LSPās enthusiasm for logistics service innovation. In this paper, we construct a logistics service supply chain (LSSC) consisting of an LSI and an LSP to explore the incentive mechanism for LSPs to undergo smart transformation. As a benchmark for comparison, we first obtain the equilibrium results under centralized decision making and wholesale price (WP) contracts. Then, cost-sharing (CS), revenue-sharing (RS), and cost sharingārevenue sharing (CS-RS) hybrid contracts are proposed. It is found that when the CS coefficient is in a certain interval, the CS contract can increase the profit of LSI and the smart level of logistics service, but it will decrease the profit of LSP. With the exception that the wholesale price of logistics services will decrease, the equilibrium results under the RS contract and WP contract remain consistent. Only the CS-RS hybrid contract can achieve the perfect coordination of LSSC. In addition, by conducting numerical analysis, we find that the enhancement of the smart effect can encourage LSP to improve the smart level and increase the overall revenue of LSSC. To the best of our knowledge, this paper is the first study to explore the incentive mechanism between LSI and LSP in the context of logistics service smart transformation. Our findings guide the LSI in implementing an effective contract.
Abstract In the current environment, where the Covid-19 pandemic has exposed the vulnerabilities of the incumbent paper-based trade and supply chain finance systems, digital transformation pledges to alleviate the friction on international trade. Here, we provide a timely review of state-of-the-art industry applications and theoretical perspectives on the use of blockchain as the medium toward digitalisation for supply chain finance systems. We argue that blockchain technology has an innovation promoting role in supply chain finance solutions through reducing inefficiencies and increasing visibility between different parties, which have hitherto constituted the main challenges in this sphere. Based on a review of the academic literature as well as an analysis of the industrial solutions that have emerged, we identify and discuss the financial, operational and legal challenges encountered in supply chain financing and the promise of blockchain to address these limitations. We discuss the bottlenecks as well as the benefits of blockchain and identify some necessary conditions required for the emergence of blockchain-enabled trade and supply chain financing, such as the establishment of co-opetition among supply chain actors, integration with IoT systems for data quality, and reform of regulatory and legal frameworks. We conclude by identifying promising research directions about the implementation process, inviting further research into the transformation of business models toward a more collaborative nature.
This study develops a dual-channel supply chain model composed of a retailer with capital constraints and a supplier with sufficient funds, in which the retailer can apply the trade credit financing (TCF) from the supplier. First of all, this work introduces inconsistent pricing strategy, and investigates the optimal pricing, sales-effort level decisions and profits of the dual-channel members. Then it investigates the impacts of consumer channel preference, free-riding behavior (FRB), TCF interest rate, cross-channel return (CCR) and unit contribution to the supplier of the CCR products on the optimal sales-effort level, optimal pricing decisions and the profits of each member under the decentralized and centralized decisions, respectively. To reduce the conflict between the two channels, this research proposes a supplier-revenue sharing contract to coordinate the members so as to achieve the win-win performance with the global optimal supply chain profit. Furthermore, this study uses numerical analysis to test the feasibility of the model and conduct sensitivity analysis. The further results are concluded as follows. (1) Supplier's revenue-sharing contract can well coordinate the dual-channel supply chain with TCF, and achieve the win-win performance with the inconsistent pricing strategy. (2) Under the centralized decision, the overall supply chain profit will have a significant increase with a higher offline-channel preference proportion. (3) The growth of the free-riding coefficient will reduce the overall supply chain profit under both decentralized and centralized decisions when consumers prefer the offline channel, but will increase the centralized overall profit when consumer prefer the online channel. (4) Under the decentralized decision, the online channel's profit will go up and the offline channel's profit will go down when the TCF interest rate increase. (5) Under the decentralized decision, the overall supply chain profit can achieve the maximum by setting a lower unit contribution to the supplier of the CCR products if consumers prefer CCR service. Finally, this work indicates some managerial implications, and proposes some issues for future research.
This paper is aimed at studying the factors influencing the implementation of blockchain in supply chain management to solve the current issues faced in the supply chain ecosystem. Supply chains are part and parcel of every business and have multiple inefficiencies in the system. Some of these inefficiencies can be managed by usage of blockchain Platform .Technology, intracompany synergies, intercompany collaboration, extrinsic factors, and innovation are critically evaluated for adoption of blockchain in supply chain. A pilot study is conducted in form survey for analysis of these factors. Hypotheses are derived for these factors for quantitative research. Subsequently these hypotheses are examined with the help of ADANCO2.3 for structural equation modelling. As an outcome, it is evident that Innovation and Extrinsic factors are significantly impacting the adoption of blockchain in supply chain management.
Xi Zhao, Peilin Ai, Fujun Lai, Xin Luo Ā· 5 authors
Abstract In the emerging platform economy, blockchain technologies are reshaping the digital economy. Moreover, disintermediation and decentralization have broken new ground for platform organizations and management mechanisms and instigated the concept of a DAO ( Decentralized Autonomous Organization ). Recent literature on operations management has called for further research on governance issues related to DAOs. In response to this call, we explore the relationship between DAO management efforts and platform performance in this study. Specifically, we propose and theoretically articulate decentralized voting tasks in DAOs as a new form of organizing. Harnessing both online and onāchain data from seven sources, we empirically examine how voting task division, task allocation, reward distribution, and information provision affect platform performance in the context of MakerDAO (an Ethereumābased stablecoin issuance platform). Our findings reveal that strategic decisions arrived at through voting have a positive impact on platform operational performance under certain conditions, whereas operational decisions resulting from voting have a negative impact. Moreover, we elucidate the moderating effects of voting task execution characteristics on the relationship between completed decision tasks and operational performance. These findings have important implications from both theoretical and practical perspectives. We also share all the raw data we use to promote the development of blockchainārelated empirical research.
Ankit Bansal, Osman Y. Ćzaltın, Reha Uzsoy, Karl G. Kempf
Abstract Product transitions involve the replacement of products currently being produced and distributed by a firm with new products throughout the firm's supply chain. In high technology industries effective management of product transitions is crucial to longāterm success, and involves the coordination of multiple product development units and a manufacturing unit by a product division serving a particular market. Since the different units are organizationally autonomous, and the product division does not have access to their detailed technological constraints and internal operating policies, a decentralized solution is required. We develop a priceābased coordination framework using the subadditive dual of a mixedāinteger linear program that seeks to maximize the number of units whose proposed plans are included in the final solution. The proposed approach yields superior solutions to a linearāprogrammingābased branchāandāprice approach within the same computing budget. We discuss the broader applicability of this integer column generation approach, and suggest directions for future work.
Lei Li, Yong Yan, LUO Yangfan, ZHANG Tianhan Ā· 7 authors
Demand response is an important way to balance the power supply and demandļ¼ and to wake up user-side resources. In view of data trustļ¼ privacy protectionļ¼ transaction efficiency and other issues of current demand response businessļ¼ a solution based on smart contract on blockchain is proposed. Firstļ¼ according to the invited demand response mechanismļ¼ the pain points and difficulties of the current business mechanism are analyzed. Thenļ¼ the smart contract on blockchain is introduced to construct the technical framework of the invited demand response framework based on smart contractļ¼ to design the operation mechanism and the related smart contract functions.ļ¼ and to analyze the technical advantages of the smart contract on blockchain applied in the demand response business. Finallyļ¼ the deficiencies of this mechanism are discussedļ¼ and the future development direction of demand response business based on blockchain technology is discussed concerning demand response service increaseļ¼ transaction system improvementļ¼ user-side interaction enhancementļ¼ and timeliness advancement.
Counterfeiting drugs has been a global concern for years. Considering the lack of transparency within the current pharmaceutical distribution system, research has shown that blockchain technology is a promising solution for an improved supply chain system. This study aims to explore the current solution proposals for distribution systems using blockchain technology. Based on a literature review on currently proposed solutions, it is identified that the secrecy of the data within the system and nodes' reputation in decision making has not been considered. The proposed prototype uses a zero-knowledge proof protocol to ensure the integrity of the distributed data. It uses the Markov model to track each node's 'reputation score' based on their interactions to predict the reliability of the nodes in consensus decision making. Analysis of the prototype demonstrates a reliable method in decision making, which concludes with overall improvements in the system's confidentiality, integrity, and availability. The result indicates that the decision protocol must be significantly considered in a reliable distribution system. It is recommended that the pharmaceutical distribution systems adopt a relevant protocol to design their blockchain solution. Continuous research is required further to increase performance and reliability within blockchain distribution systems.
Sandip Rakshit, Nazrul Islam, Sandeep Mondal, Tripti Paul
This study examines the impact of blockchain technology (BCT) on small and medium-sized enterprisesā (SMEs) internationalization. Further, it examines how Amazon as a platform reframes the global partnership environment via the BCT network that enables Indian SMEs to operate globally. Data were collected from 291 employees at 43 high-tech SMEs in India. They revealed untapped interest in how Indian SMEs will use Amazon for global operations. Several factors, such as processes to strategize, synergize, and standardize, are described as needing to be addressed before SMEs can boost integrated business efficiency, especially with regards to marketing capacity, scale, scope, and financial performance. The study represents a critical theoretical contribution to Amazon-based global operations by developing the 3S Triangle Model, which could provide a basis for future business practice. Furthermore, the study defines and addresses the evolution of BCT that Amazon has usedāand continues to useāas a global operations platform. At the convergence of BCT, Amazon, and global retail activities, we propose and advance an integrated model of BCT-driven global operations among SMEs that provides a holistic view of state-of-the-art practices and exciting avenues for future study.
Supply Chain Finance (SCF) refers to the financial service in which banks rely on core enterprises to manage the capital flow and logistics of upstream and downstream enterprises. SCF adopts a self-testing and closed-loop credit model to control funds and risks. The key factor in a successful SCF service is the deployment of SCF business-oriented information systems that allow businesses to form partnerships efficiently and expedite cash flows throughout the supply chain. Blockchain Technology (BCT), featuring decentralization, tamper-proofing, traceability, which is usually paired with the Internet of Things (IoT) in real-world contexts, has been widely adopted in the field of finance and is perfectly positioned to facilitate innovative collaborations among participants in supply chain networks. In this paper, we propose a BCT and IoT-based information management framework (named BC4Regu), which works as the regulatory to improve the information transparency in the business process of SCF. With BC4Regu, the operation cost of the whole supply chain can be significantly reduced through the coordination and integration of capital flow, information flow, logistics and trade flow in the supply chain. The contributions in this paper include: (1) proposing a novel information management framework which leverages Blockchain and IoT to solve the problem of information asymmetry in the trade of SCF; (2) proposing the technical design of BC4Regu, including the Blockchain infrastructure, distributed ledger-based integrated data flow service, and reshaped SCF process; and (3) applying BC4Regu to a group of scenarios and conducting theoretical analysis by introducing the principal-agent model to validate the BC4Regu.