Samsung Electronics Turns To Blockchain For Optimising Its Supply Chain Network

The electronics manufacturing giant Samsung has finally considered a blockchain platform that will manage and keep track of the shipments in its global supply chain network. This comes as a significant endorsement of blockchain technology from one of the largest technology providers around the world.

Is this happens, the blockchain ledger platform will be broadly implemented in order to track the global shipments. The blockchain chief at Samsung SDS (the IT subsidiary of Samsung), Song Kwang-woo, recently spoke to Bloomberg, revealing that their blockchain system could reduce the shipping costs by 20%.

Kwang-woo also pointed to the fact that SDS must adapt to the blockchain platform – and will do that in the following years. He said that currently, SDS is working on developing the blockchain platform for Samsung Electronics after which it will be placed among the top global manufacturers. That way, the platform will explore the applicability of blockchain at as massive scale.

So far, SDS has proven their experience in implementing the blockchain technology. Their biggest success (December 2017) was implementing it in the logistics and shipping industries – concluding a 7-month pilot project that would record and track shipping logistics of imports and exports in the massive shipping industry in Korea.

Samsung’s SDS’ Song also noted:

It will have an enormous impact on the supply chains of manufacturing industries. Blockchain is a core platform to fuel our digital transformation.

According to the report, SDS will rely on blockchain to handle 480,000 tons of air cargo and millions of shipping units in 2018. The shipments will include everything from chipsets to Samsung devices – some of which including the Galaxy S9 and the upcoming Note 9.

In the end, this is another proof that blockchain is designed to reduce the time and ramp up the efficiency of product launches and their shipments to the end user.