4.5 Article

Supply chain traceability using blockchain

Journal

OPERATIONS MANAGEMENT RESEARCH
Volume -, Issue -, Pages -

Publisher

SPRINGER
DOI: 10.1007/s12063-023-00359-y

Keywords

Chain of Custody; Provenance; Traceability; Supply chain; Supply chain management; Blockchain; Ethereum; Smart contract

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In the global marketplace, supply chains often involve multiple countries, organizations, and complex processes. This complexity makes it challenging to ensure traceability, chain of custody, and transparency, thus affecting business competitiveness. This study proposes using Blockchain to ensure chain of custody and traceability, allowing organizations to demonstrate product provenance, integrity, and compliance. By connecting Supply Chain Actors and product identifications using digital certificates, a complete traceability solution can be achieved. The study includes the design of a Public Key Infrastructure (PKI) and the development of an Ethereum Smart Contract for certificate authentication, providing decentralized and trustful assurance of provenance, chain of custody, and traceability in supply chains.
In the current global marketplace supply chains can span a huge number of countries, cross many borders and require interoperation of a multitude of organizations. This vastness of supply chains impacts business competitiveness since it adds complexity and can difficult securing traceability, chain of custody and transparency. We propose that assuring chain of custody and traceability via Blockchain (BC) allows organizations to demonstrate product provenance, integrity and compliance. This work proposes that to effect true traceability the more complete approach is to connect both the Supply Chain Actors (SCAs) and products identifications using digital certificates. A Blockchain is used to manage the traceability of products and validation of the identities. Importing, verifying and storing the certificates uses an off-chain data storage solution for products certificates, IDs and data (i.e., WalliD) . To create, validate the certificates and setup the chain of trust a Public Key Infrastructure (PKI) was designed as part of the proposal. Our study follows a Design Science research approach aimed to analyse the requirements and propose a solution to a more complete traceability in supply chains. The results were architectural artifacts, including an Ethereum Smart Contract and a PKI based certificate authentication system. The implementation of these deliverables allow for a supply chain system that can provide decentralized and trustful assurance of the provenance, chain of custody and traceability functionalities for all the Organizations and also for the final consumers.To exemplify the problem and demonstrate the applicability of the solution, its potential and benefits we applied it to a real food supply chain use case that already uses provenance certificates and stored them in the blockchain using the before mentioned SmartContract to assure and demonstrate the chain of custody and traceability of the food produce.

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