Blockchain - breaking down data silos & improving supply chains
When data silos cause multiple issues internally and externally. Data silos can exits for a number of reasons:
Cultural - An organisation has a competitive or hostile culture causing departments or individuals to keep data from each other
Structural - Organisations hierarchy does not allow individuals or departments to collaborate & keeps them separate
Technology - An organisations data is stored separately and in disparate locations without the ability to communicate or be found with other internal systems
Not removing data silos results in:
Incomplete strategy modelling
Failed business initiatives - Over $2bn per year is lost on failed business intelligence
When an organisation has the ability to interact and silos are removed then this is when organisational performance can begin to flourish. to achieve this the correct infrastructure needs to be in place.
The issues that organisations have can also be directly related to supply chain management. There is a clear shift from the traditional linear supply chain to a connected state of digital supply networks. To achieve this then supply chain data silos need removing.
Utilising Blockchain technology and applying it to supply chain management provides the ability to enhance the process and data sharing. This provides operational benefits such as enhanced product information, raw materials can be tracked from source and additional benefits such as procurement having a closer and more accurate tie with inventory delivering reduced operational cost.
Blockchain technology creates a united layer throughout multiple parties (supply chain) and has the ability to deliver data from multiple platforms. Blockchain serves as the connecting tissue itself, an enabling component of a dynamic, interconnected, new core stack that securely ties assets—be they physical assets, enterprise workflow outputs .