Enhancing Supply Chain Transparency Using Blockchain Technology
Keywords:
Blockchain, Supply Chain Transparency, Traceability, Consensus Algorithms, Distributed Ledger TechnologyAbstract
Supply chain transparency is essential in creating trust, traceability and accountability in today’s global and distributed supply chains. The traditional supply chain management platforms are not transparent, have no data repository, and are subject to manipulation by auditors with time–consuming audit procedures. The study identifies the nature of blockchain technology for enhancing transparency in supply chains through decentralizing data sharing, access to data and effective consent mechanisms. A controlled blockchain system was designed and tried with a kind of fake data of 50,000 data transactions in five functional phases of the supply chain. It analysed the performance of Proof of work (PoW), Proof of Stake (PoS), Practical Byzantine Fault Tolerance (PBFT) and Merkle tree based verification, in a practical way. The findings show that compared to PoW, PBFT has a much better latency of transactions by a margin of 90 ms and throughput of 300 transactions per second; in contrast, PoW has 950 ms and 15 transactions per second. The Merkle Tree verification also implemented greater transparency as accuracy rate in traceability was enhanced to 99.8% and also decreased the time taken on auditing to 12 seconds per product which was a cut in over 90 percent time in the current supply chain systems. Experiments on fault tolerance revealed that PBFT could achieve ledger consistency even in the presence of a faulty node count in up to 33% of the nodes. Altogether, the results prove that the blockchain–based supply chain systems can significantly enhance the transparency, traceability, and effectiveness of audit measures and can be non–neglectable in an actual enterprise and regulatory context.
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