Have you ever wondered what new transformation that Blockchain and IoT can bring to the world? Well, it is amazing to see that both these technologies are bringing in some revolutionary changes. IoT is a bit old, and Blockchain is the new entrant, with the amalgamation of both these technologies, we are surely going to see some new positive changes in the business ventures.
Blockchain development – Its been only ten years that we have seen a surge in Blockchain technology. It is a distributed ledger technology that provides a platform where every data exchange is stored in chronological order. It is these features of Blockchain which makes tracking of data easy and simplified.
Many companies are trying to explore the use of Blockchain technology; the only reason behind this is that Blockchain provides all the features that can prove beneficial for companies. The latest addition to the list of companies is Alibaba. The company is planning to integrate Blockchain and IoT in its supply chain management system to make the system seamless. Let’s explore what is this news all about
Alibaba Move To Implement Blockchain Technology
Whenever we talk about Blockchain technology then supply chain management is one field where it is widely being used. We all know that supply chain forms an integral aspect of most of the business. An efficient supply chain ensures that the company can reach its customers in time and at the same time provide the products at the right time. There are various other benefits which Blockchain has to offer :
- Immutability– This is one of the most important features of Blockchain which allows the data to be stored and remain unalterable.
- Data Security– Ever information exchange that takes place on the Blockchain platform is stored cryptographically which means every information on this ledger is secured.
- Traceability- One of the key features of Blockchain which makes it useful for the supply chain management system is that it allows easy tracking of data. Provenance or tracking of information which makes Blockchain so important for supply chain management.
What is Alibaba planning?
Before understanding what the big move by Alibaba is, it is important to know why is Alibaba emphasizing on Blockchain technology.
Well, Blockchain despite being a nascent technology has a lot of features which makes it different from the conventional technology that we are using. The current system that we are relying upon has some drawbacks like:
1. Third party interference
4. Lack of transparency
5. Poor data security
All these drawbacks hamper the seamless business operations of any organization. To gain a competitive edge and to provide customers with the best results, it is important to provide them a system that can help in delivering the right information without consuming much time and money. The Blockchain is that medium which works as per the requirement of the organization and that too without imposing too much cost on the company.
Since the supply chain is based on tracking of data, having Blockchain and IoT involved in it will improve its functioning.
Alibaba subsidiary Tmall Global announced that it would be launching a pilot project on Blockchain that will help in tracking imported goods and verify its authenticity. With the intervention of Blockchain technology, all the essential information about products will be stored in the ledger. The customer using those products can scan the QR code present on it and can easily trace the entire history of the product of their choice.
Well, this is just one of the ways in which Blockchain can prove useful for supply chain management. Additionally, all this information is encrypted, it means once it finds an entry into the ledger it becomes tamper-free. No one can delete it or change it. This one gets to know about the authenticity of the product. With this move, Alibaba aims to provide its clients with complete information about the product they have purchased, its route of movement and all the details related to products.
We can say that Blockchain has taken the world by storm. Although, it is too early to profit how long it is going to survive the odds. Since most of the projects are pilot with only a handful of them working in real, it will take some time for Blockchain to become a part of the mainstream business operations.