A pilot programme delivered by logistics technology company Marine Transport International (MTI) demonstrates that the logistics industry will see improved connectivity, efficiency and security thanks to blockchain.
MTI, in conjunction with Agility Sciences, has released a whitepaper detailing the deployment of their Container Streams system in a supply chain environment. The results of the pilot have been verified by scientists at the University of Copenhagen and maritime technology leads at Blockchain Labs for Open Collaboration.
The project, which has connected supplier, shipper, load point, customs and terminal on a shared blockchain ledger, “has far-reaching consequences for the logistics industry as it seeks new ways to improve security and profitability”. The statement added that all parties involved in the supply chain benefit from automated data flows as the system allows complete interoperability of data sources, even including legacy systems.
MTI chief executive Jody Cleworth commented “The results of this successful pilot demonstrate the strengths of blockchain technology when deployed to link the various actors in the supply chain. We are confident that firms throughout the logistics industry will see a broad spectrum of benefits stemming from blockchain deployment.
“The blockchain has proven to be an excellent way of connecting the different parties involved in any supply chain environment due to the transparency and security-by-design of the technology.”
He added that a blockchain-enabled supply chain is “highly resilient” to cyber attack – a copy of the essential shipping data is stored on each node on a decentralised network, meaning that even if one node is compromised, the data is safe.
“The business case for connecting supply chains using blockchain is very strong. As the interface is easily adaptable to existing systems there is a very low barrier to entry. Any type of supply chain business, be it marine-, air-, or land-based, can take advantage of such a system – the cost savings that we envisage are as high as 90% as a result of substantially streamlined processes.”