The international logistics company, Dalsey, Hillblom, and Lynn (DHL) has set sights on blockchain and its applications in the bid to improve the efficiency of its service while taking advantage of the benefits of the technology.
In a blog post, the company stated that smart contracts could be utilized in automating commercial processes and reduces errors while enhancing speed and efficiency of payments. It pointed to the fact that IOTA as a machine-to-machine protocol would come handy in the implementation of such innovation for the logistics industry.
Other benefit that the blockchain technology could afford the logistics sphere according to the release is in the improvement of traceability and transparency. The company wrote:
“Several initiatives are monitoring goods provenance, from how they were made to how they are being managed. This data is stored permanently and shared across decentralized networks, enabling comprehensive track-and-trace beyond current capabilities. Users can verify if products are authentic or have met handling requirements (e.g., Walmart pilot on food tracking).”
It emphasized that the focus of the company as that of other stakeholders in the industry is to make global logistics faster and leaner without compromising transparency. This will be even more apparent with industry-wide adoption as its impact would be enhanced speed and efficiency, reduction of costs and elimination of fraud.
The in the statement, the company wrote:
“Faster and leaner logistics in global trade using a common blockchain-based system creates transparency for all supply chain parties as they can view progress of goods, status of customs documents, and other data (e.g., Maersk/IBM joint venture). Key trade documents such as the bill of lading can be digitalized with participants issuing, transferring, and receiving the original document through a blockchain network (e.g., ZIM e-bill of lading)”