Blockchain Technology in Supply Chain Management Prospects and Challenges for Implementation

¹ Assistant Professor, Department of Electronics Engineering YCCE, Nagpur, Maharashtra, India
² Assistant Professor, Department of MBA, SRM Institute of Science and Technology -Ramapuram, Chennai, Tamil Nadu, India
³ Dean - School of Management, KPR College of Arts Science and Research, Avinashi Road, Arasur, Coimbatore, Tamil Nadu, India
⁴ Professor, Department of Management Studies, Chettinad College of Engineering and Technology, Karur, Tamil Nadu, India
⁵ Assistant Professor, Department of Computer Science and Engineering, Bharati Vidyapeeth’s College of Engineering, A-4, Rohtak Road, Paschim Vihar, Delhi, India
⁶ Asst Professor, Department of MECH, New Prince Shri Bhavani College of Engineering and Technology, Chennai, Tamil Nadu, India

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Abstract

Blockchain Technology in Supply Chain Management Blockchain can help scale to preparedness and enhance scalability, transparency, interoperability, security, and cost-efficiency. Existing implementations are facing significant challenges, such as considerable computational expense, scalability constraints, issues with interoperability, energy waste, and regulatory compliance. In response, this research presents a next-gen blockchain framework leveraging hybrid blockchain architectures, AI-integrated smart contracts, green consensus algorithms, and cross-platform interoperability strategies to bridge the gaps of the existing systems. In this paper, we present an architecture that incorporates Zero-Knowledge Proofs (ZKP), Homomorphic Encryption, and Decentralized Identifiers (DIDs) for upholding data transparency and privacy without compromising on regulatory compliance. Furthermore, in order to facilitate the cost-effective adoption of blockchain for supply chain firms, the study presented BaaS (Blockchain-as-a-Service). AI-powered adaptive smart contracts to automate logistics operations in real-time are also included in the framework. This research proves that the proposed blockchain framework helps to increase the supply chain security level, decrease operational costs, improve transaction efficiency, and conformity with the regulations of global trade through the case study analysis and simulation testing approaches. The outcome indicates the comparative analysis demonstrating the improvement– a 40% reduction in latency, a 30% decrease in computational costs, and a 50% higher transaction processing speed compared to the existing blockchain technologies with respect to hybrid blockchain model. This research addresses major roadblocks to significant adoption of blockchain, and provides a robust, cost-efficient, and privacy-protective, scalable blockchain solution which can guarantee resilience and transparency of supply chain in current-day logistics networks.