Application of blockchain technology in sustainable supply chain management

Abstract

Due to the expansion of the supply chain in terms of geographical scope and its complexity in terms of the number of actors and the services provided, utilizing the capabilities of new methods and technologies such as Blockchain is essential. The purpose of this thesis, in addition to conceptually exploring Blockchain structure, is to investigate its role in improving supply chain performance and its impact on promoting various aspects of sustainability. This research firstly inspects fundamental theories related to supply chain and sustainable supply chain management, afterwards, the Blockchain technology, its features, and how it works. Then, this study focuses on how Blockchain could improve supply chain processes and sustainability. The research approach is exploratory qualitative, and the data collection is done via primary data (interviews with experts). This study showed that the most important advantages of using Blockchain as a database are: data accuracy, accessibility, transparency, traceability, trust, and decentralization. This research also came to the result that, Blockchain can play a remarkable role in improving sustainability in supply chain management, such as in labor rights, consumers’ rights, equality among stakeholders, reducing environmental damage and emissions, third parties and intermediaries’ elimination and unnecessary costs reduction.