Supply chain re-engineering using blockchain technology: A case of smart contract based tracking process

Abstract

The emergence of blockchain technology has created a number of potential innovations in handling business activities across various industries. However, few studies discuss the potential influence of blockchain technology from a business process re-engineering perspective. This study focuses on the feasibility and inceptive application of supply chain processes. We proposed a blockchain-based framework along with the use of an affiliated technology, i.e., smart contracts, to derive the feasible benefits of the supply chain process design. Through the illustrative design of an integrated process, we provide an achievable use case of the disintermediation of business processes via a conceptual, shared information ledger. This ledger not only facilitates the sharing of tracking information but also promotes a network for multilateral collaboration among supply chain members. The pursuit of transparency and accountability across supply chain processes can potentially influence decentralization and automation. A comparative analysis of the current and proposed frameworks is conducted to support the core reasoning of this study. Additionally, future implications on managerial practice and academic research are explored to provide pervasive suggestions for similar attempts in different sectors. We conclude with an evaluation of the potential influence of blockchain technology on supply chain management.