Blockchain Technology Tutorial: Creating A Competitive Edge
Applications In The Corporate WorldAdd bookmark
As far as a blockchain technology tutorial goes, this informative presentation could change the way an organization leverages this solution in the future.
During the April 2019 Digital Transformation Summit, Anders Lindberg (Digital Transformation Senior Finance Manager with Maersk) delivered an interesting blockchain technology tutorial. Arguing that blockchain is hyped and requires more understanding, Lindberg explained how the technology can be used to create a competitive edge in the corporate world.
Blockchain is a form of distributed ledger technology. It runs with a peer-to-peer-based protocol and has automated transactions. Blockchain is also decentralized, which means that data is stored in multiple places instead of just one single location.
There are many benefits to blockchain. All transactions are validated, which means that they must be verified. It is also consensus-based, which means that everyone agrees to what is recorded on the ledger. The data in blockchain is also encrypted, which — as Lindberg explained — has not been hacked yet. All transactions are also timestamped, which prohibits users from going back and changing the time of transactions. Blockcahin is designed for trust, and the open-source nature can make internal data transactions more secure and more accessible for business users.
What Could The Impact Of Blockchain Be?
To understand the potential impact of blockchain in the enterprise, Lindberg compared the technology to the internet. When the internet was originally developed, traditional companies were skeptical of the business applications of the technology. Eventually, basic infrastructure was developed, including local networks and emails. Public use of the internet blossomed, along with the expanded commercialization of the internet and the birth of internet-based technology companies. New business models were developed by tech companies, such as Amazon and Airbnb, which were designed to reach consumers at a lower cost. Then, the transformation of the business world by the internet occurred. There are now companies that have an internet-driven model, with physical scale no longer seen as a requirement.
As Lindberg explained, it took some time (nearly 30 years) for the internet to move from fringe technology to accepted way of doing business. Blockchain could potentially take a similar path in the enterprise.
Blockchain Adoption And Challenges
Blockchain has the potential to transform business. When leveraged correctly, it can increase productivity, user accessibility, and data security. There could be radical new uses in the future, such as smart contracts that can facilitate the credible transfer of money, goods, and property.
Despite the benefits of blockchain, there are currently several barriers to full adoption. The technology is still immature and requires further development. The transactions speeds can sometimes be too slow and too costly for an organization. There are also too many competing platforms that might complicate the adoption phase. As Lindberg pointed out, there is no large scale adoption in any sector, and the technology is not well understood in the business community.
Blockchain Technology Tutorial In Shipping
During this blockchain technology tutorial, Lindberg discussed current applications in the shipping industry, particularly with his organization.
“Maersk is involved in a number of projects that could reshape shipping,” Lindberg said.
According to Lindberg, all container-related transactions could occur on blockchain. Payments can be made instantly available to all parties, because transactions would be automatically executed based on the journey data, which is easily accessible and verifiable. This could lower transaction costs and transform corporate social responsibility. In freight shipping, blockchain can reduce delays, decrease fraud, and limit paperwork.
Want to learn more about leveraging blockchain to create a competitive edge in the corporate world? Click here to watch the entire session on-demand from the Digital Transformation Online Summit.