Abstract
Supply chains have become increasingly complex, making it difficult to ensure transparency throughout the whole supply chain. In this context, first approaches came up, adopting the immutable, decentralised, and secure characteristics of the blockchain technology to increase the transparency, security, authenticity, and auditability of assets in supply chains. This paper investigates recent publications combining the blockchain technology and supply chain management and classifies them regarding the complexity to be mapped on the blockchain. As a result, the increase of supply chain transparency is identified as the main objective of recent blockchain projects in supply chain management. Thereby, most of the recent publications deal with simple supply chains and products. The few approaches dealing with complex parts only map sub-areas of supply chains. Currently no example exists which has the aim of increasing the transparency of complex manufacturing supply chains, and which enables the mapping of complex assembly processes, an efficient auditability of all assets, and an implementation of dynamic adjustments.
1. Introduction
Companies have to deal with the growing interests of customers, governments, and non-governmental organizations in having a greater transparency of brands, manufacturers, and producers throughout the supply chain [1, 2]. As a result, social and environmental sustainability issues have become increasingly important for manufacturers in order to maintain the flawless reputation of their brand [3]. In addition to the risk of being unintentionally involved in social and environmental sustainability issues, a lack of supply chain transparency also increases the probability of counterfeit components being introduced into a supply chain. For example, the counterfeiting of electronic parts causes potential risks including safety and loss of profits to companies, as well as maligning the reputation of manufacturers and distributors [4–6]. According to Machado et. al. [7], control and trust in the supply chain are mandatory initial aspects when integrating buyers and suppliers in order to avoid harmful practices. However, achieving full transparency and detecting counterfeit components is extremely complex and can be a costly undertaking [4, 7, 8]. Chen et. al. [2] suggested that the development of a strictly monitored public database to exchange information about suppliers’ identities and compliance records could eventually solve the transparency and sustainability problems of globalised supply chains. To overcome these transparency challenges in supply chains, recent research and industrial projects investigate the utilisation of the blockchain technology in this particular field [9–12].
4. Conclusion
The blockchain technology is used in supply chain management of various industries. Thereby, the main objective of recent blockchain projects is to increase the supply chain transparency. The simpler requirements in terms of product complexity, for example in food supply chains, can already be completely mapped on the blockchain. Food supply chains take a major part of supply chain related blockchain projects. In supply chains dealing with complex parts no solution exists which has the aim of increasing the transparency and which enables the mapping of assembly processes, an efficient auditability of all assets, and an implementation of dynamic adjustments. Raw materials, intermediate components, final products, and transformation events all have very different properties and still inevitably interact or merge with each other at a certain point in complex manufacturing supply chains. None of the analyzed scientific publications deals with an approach covering complex supply chains from raw materials to final products with transformation events included.