By leveraging the blockchain for data authentication, the entire system can contribute and validate data and is no longer susceptible to tampering.
FREMONT, CA: From dispute resolution to organizational productivity and order tracking, blockchain has the solution to the concerns that have plagued the transport sector for years. Below are three ways blockchain is changing the face of trucking, logistics, and freight.
1. Blockchain Ensures Better Freight Monitoring
As demand for the same day and on-demand delivery rises and customer demands rise and increase, commercial transport companies are faced with an ever-increasing need to innovate. Many trucking companies are already investing in great tracking technology, but it is difficult to scale this technology to more difficult user demands—especially when it comes to authentication.
According to one research paper, transport companies need authenticating, safe data to continuously enhance their operations. Current frameworks for the provision and recording of such data—based on Electronic Data Interchanges (EDIs) and Application Programming Interfaces (APIs)—are subject to misinterpretation or exploitation, which could have significant implications the global supply chain.
Effect of Blockchain
With the aid of blockchain technology, none of these problems would exist to almost the same degree. By leveraging the blockchain for data authentication, the entire system can contribute and validate data and is no longer susceptible to tampering. Increased reliability of tracking data can also affect the conservation of the products being transported.
For instance, refrigerated and temperature regulated transport relies on timely delivery. The blockchain only increases this quality. Significant investments have been made in blockchain technology in the field of temperature-regulated commodities and perishables. One technology giant has partnered with other global companies to launch an initiative designed to bring the needed quality, accountability, and authenticity to food supply chains worldwide.
2. Utilizing the Internet of Things (IoT) For Vehicle to Vehicle Communication
Blockchain and the Internet of Things can couple to increase the productivity of the trucking industry. Some companies are already introducing Vehicle to Vehicle (V2V) Communications, which effectively allow multiple freight vehicles to shape and communicate, improving fuel efficiency and safety. Storing and validating data generated by the use of V2V Communications on the blockchain will allow transport companies around the world to streamline their operations.
3. Efficient Monitoring of Fleet or Vehicle Performance History
The value of monitoring is not limited to delivery results. It is also applicable to the performance of individual vehicles within the fleet. Suppose a large corporation or small business wants to buy a second-hand delivery vehicle. In that case, the blockchain can help authenticate information on the vehicle's past performance and its history of maintenance. Although companies already exist, for this reason, they are intermediaries. The blockchain will store and verify all this knowledge for buyers and sellers without a middleman's need.