Question
Analyse the role of Blockchain technology in SCM. How does it enhance transparency and traceability in global retail operations?
Answer :
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Blockchain technology plays an important role in Supply Chain Management (SCM) by creating a secure, decentralized, and shared digital record of transactions and product movements. In retail supply chains, where products pass through manufacturers, suppliers, distributors, warehouses, logistics providers, retailers, and customers, blockchain can improve the flow of reliable information among all participants. Traditional supply chains often depend on separate databases maintained by different organizations, which can create information gaps, delays, duplication, and difficulties in verifying product information. Blockchain addresses these challenges by recording transactions in a distributed ledger that authorized participants can access and verify. One of the major roles of blockchain in SCM is improving transparency. Every significant transaction or movement of a product can be recorded on the blockchain with information such as supplier details, production date, shipment information, location, quantity, and delivery status. Once recorded and validated, the information is difficult to alter without detection. This creates a common source of information for supply chain partners. In global retail operations, manufacturers, suppliers,
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