How to improve the efficiency of the global logistics industry?

Communication and logistics are an important aspect of human existence and are the pillar industries for goods, services and value transfer.

As the scope of international trade and logistics continues to expand, people are developing more efficient ways to deliver services and value. However, blockchain technology is driving another major upturn in subversion of the logistics industry in terms of transparency and effective tracking.

A global big industry

One entrepreneur who applies the blockchain to the logistics industry points out that the logistics industry employs the largest number of people in the world and explains that as the field evolves for thousands of years and faces a growing population, It needs innovation to expand and sustain the usefulness of this industry. The fourth industrial revolution has arrived.

He also said: "Connected devices running on the Internet require greater security, and blockchain technology is an unrivaled solution in this regard because it enables distributed billing, advanced encryption, smart contracts, Cutbacks, intermediaries, etc. This will therefore address corruption, ransomware, information theft, billing and tracking issues. "

According to the data from his survey, he concludes that once blockchain networks begin to take the first step in the mass market, they will each save at least $ 50 billion annually for the international trading community. After the blockchain technology matures, the logistics industry can save 500 billion U.S. dollars each year.

The actual role of blockchain

Matanovic, a blockchain expert, says blockchain technology does serve as a tool to improve industry processes with its inherent characteristics.

He said: "In many other industries, I do not think blockchain is an efficiency-enhancing tool, and many other systems are more efficient than blockchain-based systems, but I think it's a Transparent, more solid, less dependent on the way intermediaries. "

The importance of effective tracking

In addition to this, one of the major issues facing the chain of custody is the receipt of information about the change of ownership or custody of assets. If you take a car record as an example: It is important to know if a car has a major accident and if it has caused frame / structural damage. He said: "If there is a record that can not be changed, record the car's driving history, there will be no sales car sales of a severely damaged car phenomenon.

In addition, land ownership raises many questions all over the world. One of the most common problems is when a piece of land has tripled in area or three times that means that one person will sell the piece of land to more than one person and only have one sale, if any, It is legal. In some places, land ownership is registered on paper documents, or the land information is tracked by only one person. In this case, it is often not possible to actually know the actual chain of custody, and individuals manipulate ownership records for personal gain.

Blockchain will enhance accountability

Taking into account the delivery of anything in essence is a series of custody transfer process, with an unchangeable record of the custody of the transaction chain, so that in each transfer process can be identified who is responsible for which part of the assets. Existing courier services usually track packages along the lines, but this is not perfect.

The problem with this is that because transport records are changeable, they can be hidden or completely deleted, further damaging the interests of the general public. The government can hide their black budget expenditures by erasing transport records or preventing record postings. On the one hand, the government will say this is for national security, but on the other hand, taxpayers who subsidize these budgets should have transparency in spending.

Blockchain technology integrates the monitoring chain with the transparency of immutable records. This creates an ecosystem that blocks malicious actors as they eventually end up being exposed by the transparency of the system.

Finally, the conclusion is that no matter when the government decides to implement any form of blockchain technology, anyone who claims to support decentralization should be very happy. This means that no matter whether they know it or not, the government is moving toward transparency.