Examining scope of improvement in performance of FMCG Supply Chain using Block Chain Technology

Abstract

The significance of managing supply chains efficiently and the value it creates for businesses cannot be overstated. Firms have been competing on their supply chains for decades now and this competition has become fierce in modern times. This paper aims to study the insufficiency of transparency, traceability, scalability and security in FMCG Supply chain based on information from people working in IT, Manufacturing and FMCG industries. It examines the application of Blockchain Technology as an enabler to enhance performance of FMCG Supply Chains. It also assesses the effects of adoption of Blockchain technology to solve transparency, traceability, scalability and security issues. This study also aims to generate insights on concerns regarding the blockchain technology that, since the technology is still in its initial phase. The research was exploratory in nature and conducted through the use of qualitative research methods.

In a world driven by information, customers are being more and more aware of the internal aspects of a firm such as how the quality is maintained, how good are the suppliers etc., By adopting Blockchain technology we can improve the Supplier trust as it increases accountability of the suppliers through distributed ledger system. It also installs a tamper proof supply chain system during distribution. This reduces the counterfeit and fake goods in the system. These inherent traits of Blockchain can be used to improve Customer Trust over the brand and the firm, thereby helping it to in gaining competitive advantage in the market.

Originality:

This paper is critically designed to research on challenges faced by FMCG supply chains. The earlier researches are limited to the whole supply chain in general or a particular nucleus firm.