Supply Chain Dr.ir. Maka De Lameillieure AMS Antwerp Management - - PowerPoint PPT Presentation

Antwerp Management School

Promising potential of disruptive technologies for Supply Chain

Dr.ir. Maka De Lameillieure AMS

16 december 2019

Personalisation & Customisation Personal data value platforms Mobile-first to AI-first IoT AI

Icons made by Darius Dan from www.flaticon.com

Meatless meats Huge growth in the as-a-service model Voice based virtual assistants become ubiquitous Sustainability becomes a major feature in innovation Steps towards Industry 4.0 and the factory of the future Blockchain

88% of T&L professionals believe BC will distrupt the industry 74% say they are exploring opportunities only superficially or haven’t

thought about BC at all

BCG, 2019 https://www.bcg.com/en-gb/publications/2019/resolving-blockchain-paradox- transportation-logistics.aspx

What problem are we trying to solve that disruptive technology might or might not

• ffer the solution for?

The nuts and bolts of blockchain

01.

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a 8 9 7 c 0 2 1 1 e a 4 3 3 a 5 1 a 8 1 4 e 3 3 e e 0 5 c b 1 1 0 e 1 3 4 c c 4 1 1 3 1 1 e a 3 7 3 3 1 2 4 5 a 8 8 1 b 3 e e 6 5 a a 2 1 2 3 3 1 b e 4 5 1 7 3 4 4 3 a b 4 5 1 3 4 2 0 1 5 a a e 3 3 b 1 1 a 2 3 3 c c 1 1 2 2 7 3 0 2 1 3 e 4 9 b b 8 a 2 1 1 3 e 3 9 5 b b 8 7 a a 3 2 2 b 1 3 4 5 6 e 6 9 1 3 b 0 2 9 9 b b 3 e 3 1 5

Tamper-proof transaction records

Origin of (raw) materials, processing, transport, .. Immutable record and timestamping

Information sharing & synchronization

Distributed ledger & Consensus Model

11

Narcotics

In 2018, over 50 tons

• f narcotics was found

in the Port of Antwerp

PIN codes

To secure the container pickup, PIN codes are generated. Today, PIN codes can be “double-spend” by

• rganised crime,

loopholing the process This process has proven to be inefficient and unsecure

A B

Transferring the right to pickup a container

• a pickup right is owned by only one party at a

time

• the right is transferred to the next party in the

chain

Secure & trusted transactions

• nly entitled parties can initiate transactions
• nly authorised parties can create, share or

approve documents/certificates

Transparency & Traceability

• the authenticity of the right can be verified at

all times

• all transactions are logged in an immutable

audit trail

Secure Container Release

Smart contracts are computer programs that au automa mati tically cally execute te in instructions ructions triggered by external events (for example, the receipt of goods leads to payment being processed). Smart contracts are not smart and cannot be considered as legal contracts

Smart Contract Trust and Risc

Contract negotiation, execution,verifingthe contract fulfilment state

Supply chain indicators Blockchain key concepts

Tamper-proof transaction records Information sharing & synchronization Smart contract execution

Improve overall quality

x x x

Reduce cost

x x x

Shorten delivery time

x

Reduce risk

x x

Increase trust

x x Source: Helo P., Hao Y., 2019, Blockchains in operations and supply chains: A model and reference implementation Application areas of blockchain in supply chain management

02.

Immutable record – the right to erasure (‘right to be

forgotten’ in new General Data Protection Regulation (GDPR) of the European Union, mainly article 17 ) Any person can correct or even delete his/her personal data and information that affects him/her (person) and stop being treated if this personal data is no longer necessary for the purposes for which they were collected.

No middleman – whom to ask if something goes

wrong?

92 92% % of the blockchain projects

launched in last three years are now dead.

Source rce: Evolutio ution n of blockcha kchain in techno hnolog

• gy,

y, Delo loitt itte, e, 2017

Land Registry via Blockchain Growth in turnover x 22

x 22! in 10

years With only 1/

1/3 employees

High employee satisfaction

Results from research

03.

1 2 3

Not only one technology, but combination of different technologies

OpenSC venture, which will track Patagonian toothfish, developed by WWF and BCG Digital Ventures

Monitoring data, machine learning software, the Internet of Things (IoT) and blockchain technology.

Capture Store Verify Expose

1 2 3

Not only one technology, but combination

• f different

technologies

Combine physical, financial and digital flows

vvvvv vvvvv

• 2. Multiple Sources

Services, loalty programs

• 3. Payments

Smart contracts

1 2 3

Not only one technology, but combination

• f different

technologies Combine physical, financial and digital flow Asymmetric combination, big and small companies, academia, governments, …

Think twice before you start

04.

• Is there a predictable, repeatable process that lends itself well to automation?
• Is there an ongoing or long-running transaction or process, rather than a

process that only occurs once?

• Are there multiple stakeholders in this process or value chain?
• Is there an element of value transfer? Remember, value is not only monetary.
• Is there value in an immutable record? Or is an immutable record a

requirement?

• Is it possible to use public blockchains, or is there a defined need for a private

implementation?

• Are there any behavioral or organizational changes necessary to implement

this use case?

• …

Smart Adoption model

The smart adoption model guides managers in identifying the relevant technologies that might impact the organizations activity system and helps prioritizing resource allocation

Experiment &Learn FOCUS: Future value Adopt &Transform FOCUS: Execution effect Observe &Follow FOCUS: Potential evolution Align &Embed FOCUS: Operational efficiency

Scheipers et al. (2016)

31

Antwerp Management School Opening minds to impact the world

Thank you!

Maka De Lameillieure maka.delameillieure@ams.ac..be +32 498 91 94 99 Connect with me on LinkedIn