Power of blockchain technology for enhancing efficiency transparency and data provenance in supply chain management

Abstract

Global supply chains face increasing challenges in improving efficiency, transparency, and compliance with regulatory requirements. Traditional supply chain systems often suffer from inefficiencies due to fragmented data and manual processes, which result in delays and higher costs. Blockchain technology has emerged as a potential solution by offering decentralization, data immutability, and automation through smart contracts. However, existing blockchain implementations struggle with issues like scalability and transaction speed, which limits their effectiveness in supply chain management. This study introduces a new framework based on distributed ledger technology (DLT) with enhanced smart contract functions and data provenance tracking. The framework aims to improve transaction throughput, reduce latency, and provide better data integrity, enabling more efficient and transparent supply chain operations. By incorporating mechanisms to track the origin and movement of goods, the framework ensures that stakeholders have real-time access to accurate information, improving decision-making and trust across the supply chain. We evaluate the performance of this framework using the AnyLogic simulation platform, comparing it to traditional blockchain systems. Metrics such as transaction throughput, latency, and efficiency are analyzed to demonstrate the improvements achieved by the proposed system. The results show significant enhancements in transaction speed and operational efficiency, offering a practical solution for optimizing supply chains in various industries.