As any professional knows, businesses today are more collaborative and interdependent than at any time in history and organizations need to partner closely across their ecosystem to exploit market opportunities and maximize co-innovation.
The enterprise value chain is now a complex ecosystem of partners, which impacts nearly every part of an organization’s operations. Managing those partner relationships smartly and effectively has never been more important; even the slightest inefficiencies can trap value and hinder smooth enterprise operations – something today’s demanding customers won’t easily forgive. It’s here that blockchain will prove a significant advantage to organizations, providing them with a powerful new tool with which to manage value chain partners and unlock the full benefits of sophisticated technologies such as artificial intelligence and analytics.
Accelerating Business Processes
At present, most enterprises rely on outdated, manual processes to share information with their supply chain partners. These organizations include logistics companies, suppliers, certification providers, service providers and regulators. When these relationships were relatively few and simple, this approach sufficed. But in today’s exponentially more complex environment the traditional approach is too slow, overly effort-intensive and prone to error. In many cases, poor information sharing between partners is acting as a barrier to the realization of value.
Blockchain offers a new, more reliable method of sharing up-to-date, trusted information with value chain partners without compromising enterprise speed and security. It does so by the nature of being a distributed, decentralized digital network for sharing data with confidence. Whereas today each partner maintains their own source of data – an approach which often leads to data inconsistencies across partners’ myriad of copies – blockchain provides every partner controlled access to a shared copy of the same data. As a result, reconciliation processes are accelerated, costs are reduced, and additional values are unlocked.
Benefits of Blockchain
The range of value that blockchain will bring to partners in a value chain are manifold, but we have identified three key benefits: