Creating supplier collaboration through Blockchain
To build a successful product offering, build competitive advantage and achieve important consumer priorities relating the sustainability and ESG a high degree of collaboration is required.
Collaboration (especially when focussing on supply chain management) does not come easily. Communication and information sharing when multiple parties are involved and coordination of action delivery can be difficult. Tasks often require multiple parties sharing knowledge, deliveries being tracked and co-development of products/services.
Blockchain is a technology tool that is well equipped to enhance collaboration. The technology delivers:
Enhanced partner selection
Enhanced partner agreement
Improves agreement execution
Traditionally organisations select partners based on experience, recommendation and proof of capability/financial strength. This is often done through checks such as Dunn and Bradstreet and other due-diligence all of which can take time and can often be consuming. Implementing Blockchain technology can result in a much more efficient and cost effective process. With a platform of truth created with multiple parties, information can be shared in a secure, authenticated and transparent manner with permissioned and approval access granted to all relevant parties. Overlaying this with Smart Contract technology can provide further improvements to the process as this will automatically execute agreements once specific measurables have been achieved.
Blockchain technology therefore provides the ability to make the whole process lifecycle more efficient and reduce onboarding costs. Data silos are removed and therefore inconsistencies, greater security and collaboration through enhanced partnerships are formed.