The Use of Blockchain in the Supply Chain and Supply Chain Management
• The reference page must include a minimum of the following references in current APA format (all sources must be evident within the paper): • Bible has to be one resource • 15 peer-reviewed scholarly sources from 2017-2022 • Make sure to use doi in all sources like example below: • George, B., Van de Walle, S., & Hammerschmid, G. (2019). Institutions or Contingencies? A Cross‐Country Analysis of Management Tool Use by Public Sector Executives. In Public Administration Review (Vol. 79, Issue 3, pp. 330–342). Wiley. https://doi.org/10.1111/puar.13018
INSTRUCTIONS
You will research and write a literature review on THE USE OF BLOCKCHAIN IN THE SUPPLY CHAIN AND SUPPLY CHAIN MANAGEMENT. Your research paper will be a comprehensive thematic review of the scholarly literature related to your topic.
What is a literature review?
“A literature review discusses published information in a particular subject area, and sometimes information in a particular subject area within a certain time period.
A literature review can be just a simple summary of the sources, but it usually has an organizational pattern and combines both summary and synthesis. A summary is a recap of the important information of the source, but a synthesis is a re-organization, or a reshuffling, of that information. It might give a new interpretation of old material or combine new with old interpretations. Or it might trace the intellectual progression of the field, including major debates. And depending on the situation, the literature review may evaluate the sources and advise the reader on the most pertinent or relevant.”[i]
Format for literature reviews:
“Just like most academic papers, literature reviews also must contain at least three basic elements: an introduction or background information section; the body of the review containing the discussion of sources; and, finally, a conclusion and/or recommendations section to end the paper.
• Introduction: Gives a quick idea of the topic of the literature review, such as the central theme or organizational pattern.
• Body: Contains your discussion of sources and is organized thematically.
• Conclusions/Recommendations: Discuss what you have drawn from reviewing literature so far. Where might the discussion proceed?”[iv]
Please include these sections as well:
• Current Situation: Information necessary to understand the topic or focus of the literature review.
• History: The chronological progression of the field, the literature, or an idea that is necessary to understand the literature review, if the body of the literature review is not already a chronology.
• Methods and/or Standards: The criteria you used to select the sources in your literature review or the way in which you present your information. For instance, you might explain that your review includes only peer-reviewed articles and journals.
• Questions for Further Research: What questions about the field has the review sparked? How will you further your research as a result of the review?”
This section is required and must be included in your paper.
• This section of the literature review is where you integrate Christian faith and learning in this paper. write a 3–5-page section that integrates the Genesis model, i.e., the creation-fall-redemption-consummation framework and bible information that goes in context with the paper. Conclude with how your integration may be used for furthering God’s purposes for business on earth.
Important Points to Consider
The paper is to be written in strict conformance to current APA standards, and must contain at least 3,300 words of content (excluding the title page, abstract, and references), utilizing at least 15 scholarly references.
I will attach the rubric at a later time today but you can begin paper without it.
ANSWER
The Use of Blockchain in the Supply Chain and Supply Chain Management
Introduction
Blockchain is decentralized, innovative, and distributive technology that maintains transaction data availability, transparency, privacy, and integrity. Therefore, it is an open, shared, and scattered ledger that can help record, store, and transactions supported by the cryptographic value. Blockchain technology is a unique collection of characteristics like distributed notes, smart contracting, and storage tool that ensures transparency, network security, and visibility (Dutta et al., 2020). Therefore, this paper is a literature review that will focus on how blockchain is used in supply chain and supply chain management. Blockchain has had immense potential in transforming the supply chain and supply chain management from business processing reengineering in the supply chain to security enhancement.
Current Situation
In the modern world, most products in the market are delivered through firms’ supply chains. Therefore, companies are competing in managing large and sufficient supply chains. Companies face greater constraints and challenges due to globalization, market competition, high consumer expectations, and uncertainty across the supply chain. New technologies are leading to promising benefits for improvement within the supply chain. The abrupt technological changes are building opportunities for new business, reducing the business lifecycles, and increasing global competition. One of the significant technologies is blockchain technologies used to improve supply chain traceability, security, transparency, and lower administrative costs.
The blockchain supply chain has helped organizations record the quality, price, location documentation, and other relevant data for effective management of the supply chain. Blockchain has offered information that can be used to lower counterfeit, increase transparency and traceability, and improve visibility (Dutta et al., 2020). Despite some disputes about the use of blockchain technology, it’s an essential distributed secure technology being utilized in the 21st century. One of the most substantial features of blockchain technology is its incorruptible technology feature. Blockchain is revolutionizing technology that can change industries at a global level by adding values to the supply chain networks.
History
The supply chain entails a link between organizations, resources, activities, information, and people in converting raw materials and natural resources into final goods supplied to the end client (Della and Oliver, 2021). Over the years, the conventional supply chain has led to high speed, cost, and quality implications. A lack of transparency has been the greatest supply chain challenge due to inconsistencies, manual work, unavailable paperwork, limited information of the lifecycle of products, and lack of interoperability. The blockchain-based supply chain has replaced the conventional supply chain.
Block technology was commercially established in the financial service industry to allow more secure and sufficient international payments and trades. Blockchain technology was developed to introduce a computationally practical solution for storing and tracking documents that could not be interfered with or predated. The system was developed using the concept of the cryptographically secured blockchain to store time-stamped papers and documents. The evolution of blockchain technology has been promising and steady due to the increased ability to record all the data and transactions on a specific network.
Recently, blockchain technology is being executed in other industries like consumer and retail goods through the blockchain-based supply chain, which relies on decentralized cloud databases and records of non-changeable blocks that many industry players can use to drive value and visibility in the supply chain. Della and Oliver, (2021) states that Blockchain has boosted supply chain digitization by offering distinctive benefits over the conventional supply chain through analytics capabilities and IT infrastructure. Blockchain technology is scalable in that it allows integration into the blockchain without loss of data consistency.
Methods
The search strategy begins with planning the keywords used to identify quality sources. The search strategy relied on search by keyword, which included using search terms that could be entered into the database search boxes. The keywords used represented the main idea of the research. These included blockchain technology, blockchain-based supply chain, supply chain management, supply chain transparency, supply chain traceability, information sharing, and supply chain security. The selection criterion for the articles was based on whether an article or journal is peer-reviewed. The study will focus on thematic literature, where the articles will be grouped into different themes that will be used to analyze the blockchain concept in supply chain management.
Revolutionizing Supply Chain and Supply Chain Management
Dutta et al., (2020), Wang et al., (2020), and Verschoore, Diniz, and Colomo-Palacios (2021) have focused on how blockchain technology revolutionizes supply chain and supply chain management. According to Dutta et al., (2020), blockchain technology has an abundant probability of changing the functions of the supply chain and the business processes. Dutta conducted research that reviewed 178 articles that examined the utilization of blockchain integration in supply chain operations. The blockchain has transformed every aspect of the supply chain, from procurement of raw materials to distribution. Dutta et al., (2020) found out that blockchain has enabled supply chain reengineering through establishing fast and secure supply chain operations. Wang et al., (2020) has illustrated the possibilities of utilizing blockchain technology to harmonize actions for efficient and effective management. Wang et al., (2020) takes an in-depth look at the utilization of blockchain in the supply chain beyond financial services. Wang et al., (2020) attempted to discover blockchain applications in supply chain management. The study results indicated that blockchain has a high potential of transforming and reconfiguring the structure of the tasks and managing supply chain constraints.
Wang et al., (2020) indicate that blockchain technology has been a vital tool to increase the effectiveness and proficiency of transactions and business practices. For instance, in the past supply chain processes, there were many documents and communication that required a lot of time and effort to compete. These included the contract and legal documents that companies accrued costs to offer and transfer. Wang et al., (2020) state that blockchain has offered solutions to this issue since all the papers and documents can be uploaded at any level of the supply chain and shared to all individuals, thus increasingly reducing transferring papers and communication efforts and boosting information sharing and supply chain management. Additionally, Wang et al., (2020) show how digital transformation through automation has revolutionized the supply chain through automatic data processes and eliminating intermediaries. The smart supply chain network has been built using various AI technologies such as machine learning and robotics, which have organized supply chain data and facilitated efficient data retrieval.
Aslam et al., (2021) show how blockchain has transformed the transparency, security, and traceability in supply chains. Among the major reasons most industries are adopting blockchain technology is that it has new features that offer actual data sharing, transparency, cyber security, visibility, and reliability, which are all effective in boosting the performance of supply chains. Aslam et al., (2021) focused on the supply chain activities of the oil industry in Pakistan and evaluated how the blockchain features are influencing the varying supply chain practices. The study’s findings shown that adopting blockchain technology into the supply chain and supply chain management leads to increased operating performance. Therefore, these studies clearly show how blockchain technology has revolutionized supply chain practices and management.
Oil has been considered one of the most substantial raw materials globally. Developing technologies changing consumer demands and markets have influenced the competitiveness of companies that require to reengineer their oil business. According to Aslam et al., (2021), the oil supply chain operations are classified into downstream, midstream, and upstream functional segments. All these segments are essential in oil supply chain operations. However, the oil supply chain process demands an integrated supply chain tactic to improve the efficiency of the entire process and solve supply chain network problems.
Aslam et al., (2021) argue that the composite oil supply chain network has great probabilities of suspicions, and the best way out is controlling all activities through actual information sharing. Aslam et al., (2021) add that integration of the supply chain through blockchain technology uplifts the relationship between the supply chain segment, thus enabling better decision making by highlighting bottlenecks and providing visibility. Aslam et al., (2021) also support that blockchain in supply chain practices and management is a digital innovation that offers distinctive features such as traceability, transparency, security, and real-time information sharing, which improves supply chain efficiency.
Information Sharing
Blockchain technology has been used as an important aspect in supply chain and supply chain management to advance strategic planning, integration in supply chains, and the development of a strong and effective relationship between the supply chain partners and functions. Pishdad-Bozorgi, Yoon, and Dass (2020); Wan, Huang, and Holtskog (2020); Della Valle and Oliver (2021) have focused on how information sharing and shared networks have been used in supply chain management. Pishdad-Bozorgi, Yoon, and Dass (2020) state that information sharing is vital for improving decision making, reducing costs, hastening the supply chain schedule, and improving the supply chain quality. The study shows how blockchain has been effective in establishing information sharing through an enhanced environment that benefits the construction supply chain.
Pishdad-Bozorgi, Yoon, and Dass (2020) have given three logical scenarios where blockchain technology is used in information-sharing systems to illustrate how it helps build a trust-enhanced setting for sufficient information sharing while lowering the bullwhip outcome and counterfeiting. These situations have illustrated the effectiveness of information sharing in managing the supply chain in construction industry.
Della Valle and Oliver (2021) stated that information management and performance measurement are crucial assets for the supply chain management. Della Valle and Oliver (2021) conducted a study that analyzed the importance of combining the supply chain management processes and blockchain technologies. The study relied on eighteen interviews with global experts from different fields. The study’s findings show that blockchain technologies have facilitated sharing of services, paving the way for automation of communication and decision making, which have played a great role in improving performance management.
Wan, Huang, and Holtskog (2020) state that blockchain technology can solve supply chain issues through a single trusted ledger that shapes the aspect of data trust. Wan, Huang, and Holtskog (2020) studied the impact of blockchain on information sharing. Ideally, the decentralized nature of the blockchain can enhance collaborative work and information sharing within the supply chain since it ensures that all the stakeholders of the supply chain acquire verified information which boosts collaborative partnerships.
Wan, Huang, and Holtskog (2020) show that traditionally, information sharing was facilitated through hubs and spoke architecture, direct integration, and third-party intermediaries. However, these approaches influence supply chain efficiency. Additionally, the level of transparency and trust in data distribution through these methods has been fragmented and is of poor quality. Therefore, blockchain technology has been used in information sharing to solve these problems by allowing a new form of digital data trust.
Supply Chain Safety and Security
Considerably, market conditions have become demanding and more dynamic, resulting in challenges in the competitive environment. Therefore, businesses have been forced to adapt to the changing environment by relying on flexibility, collaboration, and supply chain integration. This has led to the importance of adopting new technology approaches in supply chains. Blockchain has been among the new technologies that quickly respond to the demands and dynamics of changing business landscape. Xu et al., (2021) discussed the characteristics of the blockchain that influence the supply chain with consideration of the security triad (availability, integrity, and confidentiality). Confidentiality has been a major barrier in supply chain clearness which leads tension on security issues. Xu et al., (2020) found that blockchain technology in supply chains can preserve security ad transparency.
Mylrea and Gourisetti (2018) summarize how blockchain technology has improved the functionality and security of the supply chain. Considerably, grid modernization has boosted the deployment of smart internet-linked energy technology that is increasingly vulnerable to cyber threats. However, securing the devices has continued to challenge energy utilities, thus demanding innovative solutions that respond to the evolving and complex cyber challenges. The study has explored blockchain technology and the increased data security, suitability, attribution, and data provenance, which have helped improve supply chain security and helped in solving other security issues such as software and hardware security. For instance, blockchain technology has improved the monitoring of cyber assets, both software, and hardware, which improves compliance and security.
Chowdhury et al., (2022) focused on how blockchain technology has been adopted in controlling risks in supply chain operations as well as supply chain management. Findings from Chowdhury et al. (2022) indicate that blockchain technology influences operations and supply chain management risk management. The ability to manage risks in operational processes helps avert supply chain interruptions led by circumstances that help brand businesses as more resistant.
Companies have facilitated risk management through interconnected and complex supply chain ecosystems by enhancing process and information resilience. Considerably, the blockchain technology structures such as perceptibility, traceability, transfer, as well as immutability in transactions and operations can lead to more efficient and flexible processes in transactions and mechanisms. These will be led by information sharing, creation, exchange, consumption, and partnership among the stakeholders at intra and inter-organizational levels that will manage risks, thus increasing the supply chain safety.
Supply Chain Transparency
Blockchain technology has been used to enable a more transparent and accurate end-to-end tracking. The blockchain uses a network that records data that makes it difficult to change since data is available to everyone in the supply chain at any time, thus making all transactions transparent. Paliwal, Chandra, and Sharma (2020), Bai and Sarkis (2020), and Korepin et al., (2021) explored the utilization of blockchain to increase transparency in the supply chain. Bai and Sarkis (2020) state that transparency is the degree at which supply chain data is available to the stakeholders in the supply chain. Transparency is an essential supply chain performance metric.
Transparency links to supply chain tracing and increasing more comprehension of the product life cycle. Bai and Sarkis (2020) state that blockchain technology can increasingly improve supply chain transparency. This is because blockchain technology has numerous benefits in the supply chain, such as building secure network connections, real-time communication, and guaranteeing trust among stakeholders.
Paliwal, Chandra, and Sharma (2020) rely on a systematic review to examine the importance of blockchain in the management of a viable supply chain. The study results indicated that transparency is a key benefit of using blockchain technology. Paliwal, Chandra, and Sharma (2020) found out that blockchain can answer how to enhance transparency and accuracy while moving materials and products through the global supply chain. Therefore, the utilization of blockchain has enhanced the transparency of the product distribution system. For instance, blockchain leads to a more reliable, transparent, secure, and authentic system. Blockchain technology has transparency features used to verify information, thus increasing sustainability in the supply chain.
According to Korepin et al., (2021), evolving competition, customer demand, and the rise in e-commerce have increased the complexity of the supply chain systems. The traditional supply chains are unable to manage the supply chain risks and lower the costs and meet the demands of the dynamic market. This has resulted in poor data management, tracking issues, and information gaps that have influenced the supply chain’s transparency. Korepin et al., (2021) has demonstrated how blockchain technology has been used to improve supply chain reliability. The study evaluated twenty-three countries and looked at how blockchain technology has improved the transparency and reliability of supply chains. The study relied on a systematic review of the current trends in the supply chain. Korepin et al., (2021) have shown that blockchain technology has improved the visibility of goods that move through the supply chain by increasing data exchange between stakeholders in the supply chain network.
Supply Chain Traceability
Blockchain technology has been used to build a supply chain with strong traceability features. Blockchain technology tends to leverage traceability for enhancing operational efficiency by visualizing and mapping the supply chain. Ideally, traceability in blockchain technology relies on the ease of collecting vital data and strengthening trust through open data access. Paliwal, Chandra, and Sharma (2020), Song, Sung, and Park (2019), and Jabbar et al., (2021) have focused on the use of blockchain technology to improve traceability. According to Paliwal, Chandra, and Sharma (2020), blockchain facilitates secure online transactions. The development of blockchain technology is a tailored solution for enhancing traceability in supply chain management.
Jabbar et al., (2021) stated that handling the reliability of processes and products in a multi-stakeholder supply chain setting is a major issue. However, blockchain technology has emerged as the leading technology in providing control and traceability. Traceability has ensured the integrity of products in the supply chain and offered technological solutions for recording and monitoring the flow of products through solutions such as radio frequency identification.
Creydt and Fischer (2019) show how blockchain technology has been effective in the traceability of the food supply chain. Blockchain technology has incorporated algorithms that have a high potential of storing data in an unmodifiable way which enables quick tracking across the supply chain process. Song, Sung, and Park (2019) also add that blockchain has been a promising technology for traceability functions in supply management such as inventory management, supply chain management, logistics, and forecasting. Blockchain technology has been an enabler of boosting supply chain traceability through the wide adoption of blockchain and immutability.
Song, Sung, and Park (2019) state that blockchain technology has offered opportunities in supply chain traceability which have solved the technical challenges in the conventional supply chain, such as ensuring trustworthy, complex chain actors and high entry cost barriers. For instance, the ERP systems from organizations such as SAP, Oracle, and IB have increased entry barriers for some businesses. However, blockchain technology has led to a new supply chain traceability system that allows organizations to join simply by using smart devices.
Questions for Further Research
- Can blockchain technology enable the building of information management to address the pillars of sustainability in supply chain management?
- How does stakeholder behavior change as a result of blockchain-based supply chains?
Genesis Model
Genesis 1-11, in the beginning, God created heaven and earth. God spokes things to come into being that was not there before. God then created Adam and Eve, who fell into sin, driving apart their relationship with God. The decision of Adam and Eve to eat the fruit and disobey God led to a disastrous impact in organizations today since this marked the beginning of toiling. With time in Genesis 10:1-11:32, human beings began building the tower of Babel. God saw this as ignorance, where he scattered the people and destroyed the Tower of Babel. The scattering of people was a form of redemption since God brought people together, which led to various cultures today. Like the Tower of Babel, blockchain technology is a great achievement since it’s a combination of intellectuals, libertarians, and visionaries. Blockchain technology has led to decentralization in the supply chain, which has boosted the success of supply chains in the modern world.
Conclusion
In summation, the literature review has offered broad evidence on applying of blockchain technology in supply chain practices and management. The studies have supported the use of blockchain technology in managing the supply chain and improving the supply chain functions. The major themes researched in the literature review were linked to blockchain in supply chain and supply chain management. These included supply chain traceability, transparency, information sharing, and security. These features have enabled improved functionality of the supply chain and management of supply chain practices.
References
Aslam, J., Saleem, A., Khan, N. T., & Kim, Y. B. (2021). Factors influencing blockchain adoption in supply chain management practices: A study based on the oil industry. Journal of Innovation & Knowledge, 6(2), 124-134.
Aslam, J., Saleem, A., Khan, N. T., & Kim, Y. B. (2021). Factors influencing blockchain adoption in supply chain management practices: A study based on the oil industry. Journal of Innovation & Knowledge, 6(2), 124-134.
Bai, C., & Sarkis, J. (2020). A supply chain transparency and sustainability technology appraisal model for blockchain technology. International Journal of Production Research, 58(7), 2142-2162.
Chowdhury, S., Rodriguez-Espindola, O., Dey, P., & Budhwar, P. (2022). Blockchain technology adoption for managing risks in operations and supply chain management: evidence from the UK. Annals of Operations Research, 1-36.
Creydt, M., & Fischer, M. (2019). Blockchain and more-Algorithm driven food traceability. Food Control, 105, 45-51.
Della Valle, F., & Oliver, M. (2021). Blockchain-Based Information Management for Supply Chain Data-Platforms. Applied Sciences, 11(17), 8161.
Dutta, P., Choi, T. M., Somani, S., & Butala, R. (2020). Blockchain technology in supply chain operations: Applications, challenges, and research opportunities. Transportation research part e: Logistics and transportation review, 142, 102067.
Jabbar, S., Lloyd, H., Hammoudeh, M., Adebisi, B., & Raza, U. (2021). Blockchain-enabled supply chain: analysis, challenges, and future directions. Multimedia Systems, 27(4), 787-806.
Korepin, V., Dzenzeliuk, N., Seryshev, R., & Rogulin, R. (2021). Improving supply chain reliability with blockchain technology. Maritime Economics & Logistics, 1-14.
Mylrea, M., & Gourisetti, S. N. G. (2018, August). Blockchain for supply chain cybersecurity, optimization, and compliance. In 2018 Resilience Week (RWS) (pp. 70-76). IEEE.
Paliwal, V., Chandra, S., & Sharma, S. (2020). Blockchain technology for sustainable supply chain management: A systematic literature review and a classification framework. Sustainability, 12(18), 7638.
Pishdad-Bozorgi, P., Yoon, J. H., & Dass, N. (2020). Blockchain-based Information Sharing: A New Opportunity for Construction Supply Chains. EPiC Series in Built Environment, 1, 274-282.
Song, J. M., Sung, J., & Park, T. (2019). Applications of blockchain to improve supply chain traceability. Procedia Computer Science, 162, 119-122.
Wan, P. K., Huang, L., & Holtskog, H. (2020). Blockchain-enabled information sharing within a supply chain: A systematic literature review. IEEE Access, 8, 49645-49656.
Wang, M., Wu, Y., Chen, B., & Evans, M. (2020). Blockchain and supply chain management: a new paradigm for supply chain integration and collaboration. Operations and Supply Chain Management: An International Journal, 14(1), 111-122.
Xu, P., Lee, J., Barth, J. R., & Richey, R. G. (2021). Blockchain as supply chain technology: considering transparency and security. International Journal of Physical Distribution & Logistics Management.
