Adopt NextGen Technology like IIoT and Blockchain or Plan to be Disrupted
“If you are not operating at the edge of new technologies, you will surely be disrupted. If you are not willing to embrace new technologies like Internet of Things and blockchain to face those new threats, you are, maybe subtly, at some point … going to extinction.”
-Fred Smith, chairman and CEO, FedEx Corp.
Speaking recently at CoinDesk’s Consensus 2018, Smith made clear his commitment to embracing blockchain technology in order to maintain its supply chain competitiveness in a rapidly changing digital world.
According to Smith, the major issue that global supply chains face is the “massive amount of friction” in cross-border logistics, since different countries have different standards, regulations and terminologies.
This is where blockchain comes in.
“For cross-border shipments, ‘trust’ is legal requirement for every transaction,” Smith added. “What blockchain has is a potential for the first time ever to make the information available for everybody.”
This secure “chain of custody” creates trust and is what blockchain can bring to supply chains. FedEx is testing blockchain technology to track high-value cargo, and sees the technology as “the next frontier” for global supply chains.
To learn more about blockchain and its potential impact on supply chains as well as other nextgen technologies, download the recently released “2018 MHI Annual Industry Report-Overcoming Barriers to NextGen Supply Chain Innovation.”