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20170425 making blockchain_real_logistics

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Making Blockchain Real in Transport & Logistics - Collaborative Days Innovation. 2nd Workshop on Logistics Cloud - Digitalization, data sharing and trust enabling efficient and sustainable freight transport and logistics. 25/04, Brussels.

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20170425 making blockchain_real_logistics

  1. 1. Making Blockchain Real in Logistics
  2. 2. Hello!! We work with CxOs to transform their vision, culture and business towards the 21st century needs. Rethinking and reshaping business throught Blockchain. Roberto Fernández Hergueta Digital Director @everis New Digital Business Head of Blockchain Practice
  3. 3. everis at a glance everis an NTT DATA Company is a multinational consulting firm providing business and strategy solutions, application development, maintenance, and outsourcing services. TURNOVER OF 2015 2014 2013 816€ 691€ 608€ ALMOST OPERATIONS IN 18.000 15 MILLION EUROS PROFESSIONALS COUNTRIES ARGENTINA - BELGIUM - BRAZIL - CHILE - COLOMBIA - ITALY - MEXICO – MOROCCO - PERU - PORTUGAL - SPAIN - UK - USA – LUXEMBOURG
  4. 4. 80.000 $13,5 40 10 PROFESSIONALS BILLION IN ANNUAL REVENUE COUNTRIES IN THE IT SERVICES FIELD OPERATIONS IN RANKED NTT DATA is the 10th ICT Service company in the world. We work together with clients to generate innovation that is underpinned by the best attributes of quality and cost. We aim to put clients first in all we do. NTT DATA is part of NTT GROUP.
  5. 5. General Introduction to Blockchain
  6. 6. The Blockchain is a new way to implement trusted transactions without trusted intermediaries Exchanging assets without central intermediaries Blockchain is a distributed database (or ledger) that maintains a continuously-growing list of records called blocks. Each block contains a timestamp and a link to a previous block. The data in a block cannot be altered retrospectively.
  7. 7. During the last year, an increasing number of Transport and Logistics companies have also started to become aware of the many disruptive benefits that Blockchain technology can offer …
  8. 8. 01 DISINTERMEDIATION AND TRUSTLESS eliminating the need for a trusted third party to guarantee the security of a transaction, eliminating all counterparty risk. 02 03 04 USER EMPOWERMENT, with end users always in full control over their sensitive information and transactions. HIGH QUALITY DATA, with Blockchain data being always complete, available, consistent, timely and accurate. DURABILITY, REALIBITY AND LONGETIVITY, without central control points or data vulnerability.
  9. 9. 05 PROCESS INTEGRITY, with transactions being executed exactly as the protocol demands even without oversight from a trusted third party. 06 07 08 TRANSPARENCY AND INMUTABILITY, with transactions protected from alteration or deletion, and changes to public Blockchains always publicly viewable. SIMPLICITY, with all transactions being added to a single public ledger, reducing the clutter and complications of multiple ledger. SPEED, with Blockchain business transactions being processed in minutes rather the traditional days or weeks 09 LOWER TRANSACTION COSTS, by eliminating third parties, data errors, waiting times and overhead costs.
  11. 11. A Smart Contract is a computer program that directly controls the transfer of assets between parties under certain conditions
  12. 12. Legal Contracts vs Smart Contract Services 1-3 Days Manual remittance Escrow necessary Expensive Physical presence (wet signature) Lawyers necessary Minutes Automatic remittance Escrow may not be necessary Fraction of the cost Virtual presence (digital signature) Lawyers may not be necessary Traditional contracts Smart contracts
  13. 13. Is Blockchain the silver bullet needed by the IoT industry?
  14. 14. 01 Blockchain technology is the missing link to settle privacy and reliability concerns in the Internet of Things. 02 It can be used in tracking billions of connected devices, enabling the processing of transactions and coordination between devices; this allows for significant savings for IoT industry manufacturers. 03 This decentralized approach would eliminate single points of failure, creating a more resilient ecosystem for devices to run on. 04 The cryptographic algorithms used by blockchain would make consumer data more private.
  15. 15. 05 The ledger is tamper-proof and cannot be manipulated by malicious actors because it doesn't exist in any single location, and man-in-the- middle attacks cannot be staged because there is no single thread of communication that can be intercepted. 06 In an IoT network, the blockchain can keep an immutable record of the history of smart devices. 07 This feature enables the autonomous functioning of smart devices without the need for centralized authority. 08 As a result, the blockchain opens the door to a series of IoT scenarios that were remarkably difficult, or even impossible to implement without it.
  16. 16. Benefits of Blockchain Technology
  17. 17. Blockchain technology can eliminate or automate some of the business processes, making them faster, cheaper, more transparent, less risky, more efficient and, in some cases even unnecessary, thanks to the automation it provide.
  18. 18. Impacts of Blockchain Technology on the Supply Chain Pre-transaction information available for transactions parties Fast and automated processes between the main players Real-time visibility across the whole supply chain. All parties -banks, buyers, sellers and any other trusted intermediaries – are able to see when the goods have shipped and can release funding appropriately. This should reduce time to confirm assets, confirm transaction, release payment and received confirmations Transparency and consensus will help mitigate the risk of documentary fraud and reduce the cost of transaction reconciliation between banks Immutability of historic data provide a secure transfer of value and a solution to the trade finance problem of endorsement Smart contracts offer the possibility of self-executing contracts triggered by the efficient exchange of digital data, potentially revolutionizing the Letter of Credit
  19. 19. Impacts of Blockchain Technology on the Supply Chain Better Tracking of Orders and Assets (Greater Trust by consumers) - Since blockchains can be effectively tracked through all processes, companies using blockchain technology will be able to more readily produce detailed information about a product’s lifecycle, including supplier information, manufacturing details and logistics information. Reduction in Errors in Payment Processing and Auditing Identification of Attempted Fraud More Easily –For example, an employee that goes into the system to change past events will alter the coding of the event. However, the altered coding appears so differently that it would be practically impossible to not notice the change This will allow companies to recognize the fraud and who initiated the change almost immediately, further driving down costs from poor employee practices or even potential fraud attempts by customers.
  20. 20. Real Projects
  21. 21. Real Projects
  22. 22. Real Projects In this case we consider a private blockchain, because of confidentiality of information. This solution increase security, traceability, immutability of data, non repudation, and creates a single Ledger. V V V HyperLedger Blockchain NV P NV P NV P NV P VL V VL NVP Validating Leader Validating Peer Non Validating Peer Ledger Information Timestamp Factory Driver Destination Oil Volume Verification by Sender Verification by Driver Verification by Destination Truck Factory RETAIL Supervisor
  23. 23. Real Projects
  24. 24. Blockchain
  25. 25. Thank you for your attention!