Blockchain can influence our daily life, it becomes important that it is able to connect to various business application systems like enterprise resource planning (ERP), customer relationship management (CRM), warehouse management system (WMS), manufacturing execution systems (MES), etc. Only then can it change the thought client to attain business success through blockchain. As these systems build, track, purchase, and ship products, integrating with blockchain will provide a copy of this information into the network which is immutable and indelible and can be tracked and used for reference any time, for any purpose. As the ERP systems generate financial transactions, integrating with blockchain will help make these financial transactions transparent and reliable. Integration with ERP, WMS and MES systems will reduce disputes over invoices, shipments, returns, and purchases.
The profit in the desegregation of ERP with blockchain is twofold. Firstly, it will bring in transparency, and secondly, it can reduce the cost of tracking and reporting which is significant, considering multi-echelon and multi-staged supply chains. The enterprise-ready blockchain capabilities ought to address the business processes thus on facilitate them get into the blockchain network. Research and efforts have already begun to connect the ERP with the blockchain network.
Finlync’s distributed ledger division. It is considered the world’s first blockchain-agnostic integrator for ERP systems. Finlync has developed a seamless plug-and-play integration for SAP, Ethereum and Hyperledger blockchains, and more to follow suit. Skye, a Norway-based company, has more versatile products to offer. It has developed integrations of SAP with different blockchains giving integration services in finance, HR, and supply chain.
There are three main potential growth areas in the supply chain domain. First is the advent of middleware technologies which can connect the ERP systems with different blockchain networks, second is the identification and development of use cases in the supply chain which might have the benefit of the blockchain network, and third is the blockchain as a service (BaaS). There are already some companies that have developed middleware, and are further improving on it. Let’s take the case of Microsoft’s Project Bletchley. This is an open supply framework to permit integration of blockchain networks with several applications. It focuses on security and governance requirements and, therefore, includes features such as a gateway or identity, key, and crypto services to allow non-blockchain clients to communicate with the blockchain network. Interledger is a lightweight blockchain protocol and integration framework to connect different blockchains and other interfaces, such as banks, PayPal, or Skype. Even established middleware vendors like Software AG or TIBCO Software are helping integrate and correlate blockchain events with the rest of the enterprise’s design. Another use case in the supply chain is that the procurement information like purchase order (PO) and purchase agreements, which are held in the ERP system, can be registered in digital formats in a blockchain. These digital assets can be available only to members with the private keys, and can be referred, thus removing the need for physical movement through email, mail, or fax. It will be completely transparent and public with sensitive information being accessed only by members with private keys.
Blockchain with enterprise resource planning (ERP) and blockchain as a service (BaaS) are areas which are developing very rapidly and are opening up big opportunities. It will simply be terminated that tons of analysis have already been done on blockchain with versatile applications. However, the field is still wide open. The development of blockchain from the bitcoin network is examined with a detailed study of protocols for validation and address hashing in a distributed network with the publicly available information, thus making the information unhackable, which is the linchpin of transparency and authenticity.
Blockchain is primarily a record or ledger of preferably digital events and are shared or distributed among various different parties. These can be updated but can never be erased. All the contents are verifiable. Blockchain further helps reduce administrative expenses through automated verification of claims and payments’ data from third parties. Insurtech companies can quickly view past claims transactions logged and registered on Blockchain for easy reference.
Pain points of traditional insurance system
The present-day insurance system has many weaklings and pain centres namely:-
Not very efficient exchange of data and information
Susceptible to fraud
Intricate liability of assessment for reinvestment.
Indulgence of middlemen
Fragmented data and resources
Review and processing of all claims
Technologies are rapidly changing every aspect of our life, including how we live, work and engage. Insurtech is having a similar impact on the insurance industry of the world all over. When supported by a conducive ecosystem, insurtech holds great promise to enhance customer experience, reduce claims response time, provide data-driven insights and support both customers and insurers to make informed decisions
The cryptocurrency like Bitcoin has become very popular and is used as a digital currency by a majority of people since its inception. The potential it is said to have — to completely override the conventional roles of centralized instances — has by now been applied to a number of projects across a huge range of industries including the insurtech industry. As we understand Blockchain technology, its effects and its potential are now very clear to us. The most important advantages briefly summarised:
Its decentralized consensus-based structure guarantees all participants in a Blockchain high integrity of data from the moment it is stored. Changes and deletions are not possible without another consensus. This creates trust based on a technological protocol rather than through a middleman.
The high integrity of a Blockchain enables shared and reliable data storage across multiple parties. This leads to the omission of isolated silos as well as the storage and synchronization of redundant data which are required for those.
Middlemen and the synchronization of data between different silos mean a cost-intensive work effort. By removing middlemen and manual processes, a lot of these costs can be saved.
While a middleman’s database for example, is under the central authority and thus can be centrally manipulated, a Blockchain requires a large part of the network to be undermined in order to achieve a manipulation. That way Blockchain’s protection against manipulations grows with the size of the network which is different from most other technologies.
Blockchain technology deliberately sacrifices computing power and thus transaction volume in order to enable a decentralized, protocol-based data integrity in the first place. This is also reflected in its enormous energy consumption which is rooted in the elaborate cryptographic algorithms that ensure the integrity of the Blockchain. Now that the technological foundation has been laid new ways must be found which will increase the performance without jeopardizing the integrity gained so far. Like any young technology, Blockchain is not yet free of risks and there are still some key challenges to overcome. In spite of a few shortfalls Blockchain has revolutionized the insurance sector.
Facebook is showing an era wherever centralized Blockchain acceleration in adoption can considerably change the long term of crypto-economics that is beginning to meet with payments.
This happens to be the specialty of distributed ledger technology and blockchain’s unbelievable performance improvement merging public and private networks and making transactions more efficient.
Blockchain adoption has recently gotten a significant boost — not simply through traditional players within the banking world like Chase, but also through social media. Facebook has been rapidly assembling a blockchain team tasked to figure with the emerging technology. It also recently opened a spot for a blockchain attorney to assist potential business partners. The social media giant is also looking for venture capital firms to invest up to $1 billion in its blockchain project.
Payments giant PayPal has also begun investing in blockchain technology. It recently joined a Series A funding round for Cambridge Blockchain, a digital identity software provider that combines blockchain with an off-chain personal data service to validate the identity of parties, legal entities, and devices.
Facebook’s Project Libra:
Facebook’s potential growth into crypto has been widely mentioned within the past few months. Although the social media giant has not confirmed something on the far side having a blockchain department, new details about its digital token project continue to surface. Facebook has been rumoured to be involved with cryptocurrencies for at least a year now. It plans to rebuild its messaging infrastructure and merge its three wholly-owned apps — WhatsApp, Messenger, and Instagram — under one platform. This would give a future crypto token with exposure across the combined 2.7 billion who use the three services each month. The existence of Facebook’s blockchain research and analysis team remains to be the sole official confirmation that the social media corporation is involved with crypto. The arm is led by David Marcus, ex-PayPal president. Facebook is exploring ways to leverage the facility of blockchain technology. This new team is exploring many alternative applications.
PayPal’s First-Ever Blockchain Investment
The specific amounts invested by PayPal were not disclosed by any part, but SEC filings indicate that Cambridge Blockchain raised a total of $3.5 million from several investors over the course of nine months. PayPal invested as part of an extension stage to a series A round, whereas the main series A round raises $7 million. The total then would be $10.5 million. This seems to be an excellent first investment in the blockchain sphere for PayPal. It can have a direct use for Cambridge Blockchain’s business efforts. They indeed hold sensitive user information and the more secure options they have for handling user data, the better.
Overall, they would improve the processes around user on-boarding of personal data which included KYC processes, vetting of financial bank accounts and other counterparties.
Blockchains, while holding interesting potential, particularly in the world of finance, are still in their early days. We have not nonetheless seen use cases within the financial area that are extremely differentiated and notably compelling, but we remain engaged with the broader ecosystem and are interested in how blockchain may result in demonstrable benefits for financial services and other industries.
It also holds the potential to be the next thing that would drive greater messaging adoption and make its tools the key facilitators of a wide range of daily functions. For digital marketing, this might be a significant shift. Even if it does play out as predicted, it’ll take some time to make its way to western markets. But it may change everything about how you connect with your audience.
Blockchain has the ability to revolutionize how business is conducted. In the promoting and the outdoor advertising world, blockchain can have direct implications on reducing ad fraud and increasing the efficiency of ad spends.
Digital out-of-home (DOOH) and location-based advertising
The out of home business is experiencing somewhat of a mini-revolution. The premiership of static and traditional banners is currently not enough to draw in a loyal and long shopper base. In an increasingly digital and internet orientated world brands are preparing to take the next step in order to create not only noticeable but receptive, engaging and influential outdoor advertising strategies. Regardless of what you’ll have already detected concerning it, one thing is for certain – blockchain has the potential to transform the digital outdoor advertising landscape. Blockchain will modify a complete to achieve an enormous information insight into their client demographic by facilitating and inspiring customers to interact with their digital location-based advertisements (e.g. taking an image and sharing it on their social profiles) reciprocally for a client reward – a method referred to as tokenization. Leveraging location-based information will build an enormous big impact for the digital out of home advertising. Fundamentally, allowing brands to tailor their campaigns to a specific audience, at a specific time and with a specific purpose really makes a difference.
Out-of-home advertising offers a complete and safe setting, with unparalleled viewability. Unless something is physically blocking the screen, all ads are 100 percent viewable. What percentage of digital display ad inventory can honestly make such a bold promise? What’s additional, a Nielsen study showed that OOH provides the best rate of online activation per dollar of any offline media. Add data feeds, video and programmatic capabilities to the mix and digital out-of-home is an unbeatable offering.
Impact on Digital Content
The blockchain considerably affects the method during which media corporations organize their personnel and payment schemes, e.g. articles posted on a news website could be directly linked to their respective authors. This way, profit-sharing could permit the featuring of articles not just by well-known columnists, but equally ones by freelancers. Micro-payments permit new print media pricing models that can attract new customer segments who are reluctant to purchase relatively expensive subscriptions for access to a broad range of content. Instead, a blockchain-enabled online news web site may charge scanners for its articles by the article – for a low worth of solely a number of cents per read. This way, ad-free content can be offered to users who are sensitive about advertising and prefer to pay a small amount of money instead.
In a nutshell, blockchain’s potential benefits for the media industry primarily relate to payment transactions and copyright tracking. Possible applications and technical innovations can have a so much reaching impact: content creators could also be ready to keep a detailed track of their playtimes, royalties and advertising revenues could be shared in a particular and timely manner supported consumption and low-value content might be purchased with efficiency, though priced at mere fractions of cents. Media players need to consider blockchain-based applications and their potential impact on the whole industry: micropayment-based pricing options for paid content, a shift of market power caused by content bypassing aggregators and an improved distribution of royalty payments, to name just a few.
Digital transformation, as the term suggests is a total shift from the traditional form of operating businesses through the means of digitalization. Technological advancements and recent techniques are paving way for our economy to make a switch from conventional to a modern framework. This means completely changing the basic structure based on which our businesses work by letting go of the old processes and accepting the new ones. Digital transformation is all about experimenting with technology for a better future, even if that means a complete divergence from the way your business has worked till now.
Transforming your business digitally requires a redo, where it’s not just the actions that need to change, but the thinking, too. Doing away with rudimentary thinking of running a business is the first step towards digitalization. Second, comes structural changes that demand to learn and acquiring, here the onus is on the leaders, who would make the shift possible by adapting and implementing the brought changes. Later comes the rest of the digitalization process that unfolds in steps and at different levels.
Digital Transformation and Blockchain
The entire course of digital transformation becomes unchallenging and swift with the help of different technological processes like blockchain. Blockchain was initially evolved as a structure to support bitcoins, but its advantages have led to its use in various sectors of the economy including healthcare, infrastructure, investment, etc. Now, the concept of blockchain technology and digital transformation go hand in hand, where the former is speeding up the latter’s process. Consumers and their expectations from a business have changed the way businesses formerly worked. Businesses nowadays need to follow a more consumer-centric approach to take their business forward in such a competitive era. And since consumers have gone digital, businesses too need to make a switch from analog to digital. As Greg Verdino says “Digital transformation closes the gap between what digital customers already expect and what analog businesses actually deliver.” Blockchain becomes a great aide here, as it provides immediate assistance in resolving problems relating to digital transactions.
Another help that blockchain provides is by affirming security and privacy online to both businesses and consumers. With the consumer from one part of the world, connecting with a business in another part of the world, the threats of cybercrime increase manifold, blockchain addresses such security issues and help create transparency between businesses and their customers. The information shared through blockchain is private and can be seen and used only by the involved parties, thus reducing the risk of fraud to few or none. Digital transformation cannot do without blockchain in the long run, but we need to keep in mind a few facts about blockchain too. First and foremost, blockchain is still in its evolving stage, so there are many unknowns that we might deal with in the future. There are questions that need answers and doubts that would require clearance. There are no standard rules and regulations, policies both national and international still have to be made, and thus it becomes significant to implement blockchain technology with utmost care. While there is a long way for blockchain to evolve fully, even at this stage, it is proving to be crucial for digital transformation. The security benefits of blockchain have given an edge to a digital transformation process, reducing the threats online. The benefits of blockchain are more than the danger of its failure, making it a certain part of digital transformation in the future too.
Like the pharmaceutical industry, the food sector faces increased regulatory pressure from government bodies such as the US Food and Drug Administration (FDA) and Federal Trade Commission (FTC) with standards being introduced to enforce food safety protocols and waste disposal procedures and provide visibility over food-management activities across the product life cycle. The FDA’s Food Safety Modernisation Act (FSMA), introduced in 2011, was an effort to shift food companies’ focus from responding to food contamination to preventing it. Players should be ready to quickly analyse information and endlessly track all data to confirm they are creating optimum and safe food decisions. Based on client and market experience, various companies are recognizing that restaurants, retailers, wholesalers, and even suppliers may not always be able to effectively trace their food products and identify and manage the individuals they have direct and indirect relationships with across each product’s lifecycle.
In addition, consumers are using smart devices more often for researching, purchasing, and reviewing food products from manufacturers to retailers to restaurants. Instant access to just about limitless data has impacted consumers’ expectations, demand for types of food products, and buying decisions. The creation of a shared marketplace, using blockchain technology, can provide users with full transparency of their inventory levels along with real-time data updates on restaurant supply and demand.
Reducing Food Waste While grocers and even fast-food restaurants often catch flack for throwing away “perfectly good” food, statistics show us that consumers probably would have ended up throwing away excess or barely-expired food, anyway. According to the New York Times, around 40% of wasted food in developed countries is thrown out by the consumer, not the seller. While food waste is sometimes unavoidable, that’s in part because our systems for planning picking, shipment, and purchase are often not nearly strategic or data-driven enough. Monitoring product more closely by utilizing a blockchain record of customer buying patterns, a product’s life course before and after it is in a grocer or restaurateur’s possession, and even more insightful intent will help those in the food-service industry make informed decisions to minimize food waste.
Restaurant Management Processes Automation is ready to essentially alter the food-service sector. The incorporation of smart contract technology could underpin transactions between humans and kiosks and a network of sensors could provide data about customer purchase patterns and food quality standards. The standardized information could also be stored on the blockchain for analysis by decision-makers within a company regardless of their location. The rise of completely-automated restaurants such as Spyce Kitchen is, as they describe, an almost direct response to the likelihood that chefs, servers, bussers, and other restaurant employees are almost certain to account for greater shares of the operating budget going forward. These are just two examples of how the blockchain may come to play a role in increasingly automated processes in the food service’s sphere.
With customers becoming more knowledgeable and demanding transparency, it is imperative for organizations to make data—such as of price, source, authenticity, or even social obligations—accessible. Blockchain-based solutions will give assurance to not solely millennials, but also digital generations, as access is granted to trusted, secure and unaltered information. By using the blockchain platform, restaurants and wholesalers would have end-to-end visibility over the supplier relationship with real-time access to monitor and manage all supplier relationships. As restaurants become further technologically savvy, the incorporation of such applications into their service offerings would impact their customer base.