What is Supply Chain?
Let's find out Supply Chain meaning, definition in crypto, what is Supply Chain, and all other detailed facts.
The supply chain summarizes the steps taken from the early development of a product or a service until its delivery to the end-users or customers. The number of steps within a supply chain differs between products and services.
The process of the supply chain starts with the sourcing of the raw materials required for the product or service and follows the preparation processes, testing, and quality control. The distribution of sales of the finished product leads to the end of the supply chain, which involves any parties that purchase the product either for their own gains.
The product can be distributed on a local or international level. However, the outcome of the supply chain is always the same, regardless of the distribution method – the product or service must land in the hands of the user.
The supply chain is the roadmap depicting the product’s life cycle from its early production to the final destination. The wider the product distribution and the more materials it requires to be developed, the more complicated the supply chain path is, sometimes requiring thousands of steps.
The developmental path of a product can be tricky to follow throughout all of its stages. To simplify the process, many developers and IT giants are working on implementing blockchain technology into supply chain systems to track the product roadmap.
Supply chain management is important in ensuring product security. The use of blockchain technology helps ensure data security, mismanagement of the supply chain processes, and attempts to copy or steal the product.
Blockchain acts as an immutable distributed ledger. Any information recorded on the blockchain can’t be deleted or edited. This helps maintain a clear path of any payments and contracts made in the supply chain.
Furthermore, some companies can use cryptocurrency tokens to track the product supply chain. Non-fungible tokens (NFTs) can be particularly applicable as product labels. NFTs are developed to be one-of-a-kind tokens, which makes them uniquely useful as trackers in the supply chain.
The use of blockchain technology in supply chain optimization has helped simplify the tracking and management processes. Blockchains can make the overall supply chain processes more efficient and secure.