Deloitte released a new insight reported on the state of the blockchain industry on May 28, highlighting the new use cases of the technology. Aptly titled “New Tech on the Block,” the report investigated different ways that businesses could use distributed ledger technology (DLT) for better utilization of resources. It highlighted critical areas of interest and adoption, mainly retail, packaged consumer goods and supply chain management.
A Bright Future Awaits Blockchain Tech
DLT is more suited to certain specific industries and processes like retail and supply chain management. Deloitte underlined that blockchains would become widely adopted in these two sectors at least in the next few years, becoming a critical part.
Steve Larke, Technology Consulting Partner at Deloitte, said:
“As we enter the ‘age of blockchain,’ the retail and CPG sectors are particularly well placed to capitalize on this technology and revolutionize the way many processes are conducted. Businesses that do not consider how blockchain could help are at risk of falling behind competitors. Blockchain technology is expected to achieve widespread, mainstream adoption sooner rather than later. Retail and CPG businesses need to act now and plan for future blockchain adoption, or risk being left in the dust.”
He also noted that blockchains could become a part of the entire value chain of a company, owing to its unique ability to trace, track and even authenticate products. The technology can also be used to verify records, ensure movement of goods, record financial and nonfinancial transactions and execute a trade when certain conditions are met.
Customers Benefit by Using DLT
The benefits of its use are eventually passed on to the consumer, who gets increased transparency, better trust, and more savings. As supply chain management is one of the most well-thought-out implications of this technology, customers can rest assured that they are getting high quality and responsibly sourced products only. Also, the chain becomes more efficient, removes paperwork and makes contracts and payments more secure.
Generating Value for Businesses
A firm will need to assess how exactly DLT helps it in solving key business issues. The report states:
“Organisations will need to assess which blockchain capabilities and opportunities are most suitable for them, as well as where, how to and how much to invest. For some, this will include a strategic assessment to explore opportunities. For others, it will be about enhancing existing blockchain capabilities, alongside other technologies, to achieve further value.”
It also states a 4-step plan to implement the technology — trial projects, exploration, wait and see, and plan. The report notes that while blockchains provide an exciting new arena for businesses to flourish, proper planning, strategic steps for growth and a clear plan will be the decisive factors in determining success and tangible value addition for a company.