IoT and Blockchain in Logistics: Essence, Examples, and More
Client needs’ satisfaction is the crucial purpose for businesses of any domain. So, in order to make their customers happier, entrepreneurs engage cutting-edge technologies and invest in their implementation into the routine flows.
Logistics is one of the bright examples of how businesses collaborate with hi-tech taking their activity to the next level. We’ll tell you more about the said cooperation illustrating it with examples of the Internet of Things (IoT) and Blockchain.
How Blockchain Cooperates With Logistics
Blockchain technology becomes an adequate response to the rising logistics challenges, as businesses can significantly profit from its integration with supply chain management and logistics flows.
Blockchain-empowered activities in logistics and supply chain management
Such a profit is possible due to the following Blockchain benefits as:
- Workflow optimization
- Enhanced security measures
- Activity tracking in real-time, etc.
After looking at how Blockchain can change logistics activities, let’s discuss another technology typically discussed in conjunction with Blockchain — the Internet of Things (IoT).
IoT Integration Into Logistics Processes
The IoT supply chain solutions support and enhance various business operations. Additionally, corporate information for supply chains enables significantly increased IoT prospects.
Let’s find out how IoT influences logistics and supply chain workflows. We’ll also give some of the most popular use cases of the Internet of Things in the logistics industry.
Effective tracking of freight units or fleet location. Business owners may detect the position, condition, fuel consumption, and other information about their drivers and transport by connecting IoT sensors to digital transportation solutions. Moreover, they can reduce fraud and optimize freight costs proving the importance of using IoT in finance management of a particular business.
Proceeding and transferring enormous volumes of data. Non-volatile sensors transmit data via Bluetooth, Wi-Fi, or 4G and IoT-related protocols in conjunction with networking tools, routers, and gateways. The information is further sent to the cloud and transformed for use in statistics and trend analysis, failure and deviation warnings, and other purposes.
Automating deliveries to make them more flawless and effective. Environmental sensors in smart containers keep an eye on and control the boxes’ humidity, lighting, and temperature. The use of technology helps track the position of containers, the opening and closing of doors, and the protection of “sensitive” commodities.
IoT in route management and fleet monitoring: how it happens
Blockchain and IoT: How They Act Together in Logistics Processes
Blockchain and IoT working in conjunction can boost logistics processes taking them to an entirely new degree. How do they act together? We’ve made a list of the most well-known examples for you to consider.
Technologies reduce the possibility of hacker penetration into the logistics systems or theft of gathered data. Thus, IoT helps collect information, and Blockchain makes its storage more secure. Companies can carry out transactions, terminate contracts, and control specifications using Blockchain along with IoT.
You may deal with smart contracts to streamline payments for obligations and costs. Blockchain can be included in IoT devices so businesses can use digital currency and communicate with third-party institutions on their own (for example, pay for priority access to restricted air corridors).
You might have the chance to easily connect to and manage IoT devices that can provide data (e.g., vehicles, containers, or drones for last-mile delivery).
You can maximize supply chain transparency by combining Blockchain and IoT. Smart contract solutions enable correct obligation fulfillment at all stages of delivery and real-time tracking of items and their attributes.
Logistics and supply chain businesses can greatly benefit from using technologies like IoT and Blockchain; however, their implementation requires having specific knowledge. So a skilled software vendor can help you effectively solve the technologies’ integration issues. The provider’s specialists will answer all of the tech questions that disturb you as well as deliver a cutting-edge logistics software solution that will completely fulfill your business needs.
Yuliya Melnik is a technical writer at Cleveroad. It is a web and mobile app development company in Ukraine. She is passionate about innovative technologies that make the world a better place and loves creating content that evokes vivid emotions.