{"id":7176,"date":"2022-11-02T16:00:00","date_gmt":"2022-11-02T10:30:00","guid":{"rendered":"https:\/\/ithinklogistics.com\/blog\/?p=7176"},"modified":"2022-11-02T15:12:28","modified_gmt":"2022-11-02T09:42:28","slug":"how-is-blockchain-impacting-the-logistics-industry","status":"publish","type":"post","link":"https:\/\/www.ithinklogistics.com\/blog\/how-is-blockchain-impacting-the-logistics-industry\/","title":{"rendered":"How Is Blockchain Impacting The Logistics Industry?"},"content":{"rendered":"\n

$50 Billion. <\/a>
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It is indeed a humongous amount, even for an entire economic sector. 
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But you know what, this figure amounts not for an entire sector but only the reported losses incurred by the logistics industry in a year owing to factors including mislabeled, mis-shipped, and stolen cargo. 
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It looks like the loss would ring some bells to wake the hotshots in the e-commerce logistics sector, who refuse to change, citing issues with human resources. 
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But fortunately, you now have a solution, and it is a good one.
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Source<\/a> <\/figcaption><\/figure><\/div>\n\n\n\n

Through a public ledger system that tracks the movements of every shipping container, blockchain technology<\/strong> can help increase the efficiency of your logistics organizations. 
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The entire system can build speedier delivery routes, eliminate pointless steps, and reduce bottlenecks and human error.
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So, before understanding the impact of blockchain on the logistics industry, you must understand the technology itself. 
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What is Blockchain Technology?<\/strong><\/h2>\n\n\n\n

Let\u2019s go back in time. <\/p>\n\n\n\n

We humans have looked at databases in different lights at different points in history.<\/p>\n\n\n\n

In the earlier days, humans stored and processed data manually using pen and paper.<\/p>\n\n\n\n

However, as the population grew,  pen and paper were replaced by computers.<\/p>\n\n\n\n

But you see, computers were not yet too advanced to decode the human mind. They were still prone to mistakes, confusion, and most importantly \u2014 corruption.<\/p>\n\n\n\n

Cut to today; blockchain technology is filling that gap. <\/p>\n\n\n\n

It didn\u2019t just change how we look at payments and transactions but offered various applications in diverse sectors, including logistics and transportation.<\/p>\n\n\n\n

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Source<\/a> <\/figcaption><\/figure><\/div>\n\n\n\n

Ah, it\u2019s not magic, but pure logic.<\/p>\n\n\n\n

To understand more, let\u2019s break down the technical definition:
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Definition: <\/strong>
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\u201cBlockchain is a decentralized, distributed, immutable peer-to-peer ledger that encrypts and stores transaction records and is (generally) accessible to the parties involved.\u201d
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Breakdown:<\/strong><\/h4>\n\n\n\n