Digitalisation Blockchain
Blockchain is a chain of linked blocks of data records, each bearing a cryptographic hash of the previous block. Once data is recorded in a block, this then becomes part of the cryptographic hash in the next block, so data cannot be altered retroactively without changing all subsequent blocks that show that data. It essentially creates a digital ledger of transactions that is duplicated and distributed across a network of participating computer systems. The technology is secure and incorruptible. Systems, devices and sensors that are capable of automated machine-to-machine communication can all become part of a blockchain system. How should confectionery manufacturers start to develop a digital food supply chain? Ian’s advice is to start auditing the nature of the food transformation data gathered in the plant and investigate whether the necessary data is being collected for digital track and trace at batch level. Next, look strategically at how this data is collected and
stored – analogue technology must be replaced with digital; if possible, manual processes need to be automated; data held on local servers should be migrated to a data hub on the premises or to the Cloud. Then start talking to blockchain technology providers to get a feel for the issues at stake and what can be achieved. IBM is currently the front runner, but there are other potential providers.
Finally, consider how to oversee the cultural changes that implementing this digital transformation will require within the organisation.
Ian believes that many confectionery manufacturers will
find – perhaps to their surprise – that they are already in a good position to embark upon a process of transformation. The technology may seem complex, but its implementation is relatively straightforward. The change of culture, however, will need to be carefully managed. Staff will need to understand and accept that, within the blockchain, other organisations will have visibility of their company’s data. The transparency will be real and immutable. Leadership will be required to drive change and demonstrate commitment.
Getting in shape Amidst the talk of blockchains and connectivity it
is
important not to lose sight of what this technological transformation of the supply chain is all about. It is about providing a system in which batches of product can be quickly tracked and traced, and in which critical actions taken by companies dealing with that food in the supply chain can be proven and trusted. Ultimately, it is about demonstrating that the necessary due diligence has been shown along the supply chain – from farm to fork – to deliver safe confectionery products to the consumer.
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