About blockchain technology and transportation management

The blockchain technology and transportation management

Introduction:

The term “Blockchain” is not new. But recently people are more interest about blockchain technology due to popularity of “bitcoin” and “cryptocurrency”. Bitcoin and cryptocurrency works with the avail of blockchain technology. Therefore, firstly, we require to ken about “what is cryptocurrency?” and “how does it work?”  Blockchain technology can help the transportation management same as cryptocurrency area.

 

Blockchain technology:

If there is a chain prepared with some blocks, then it can be verbalized as a blockchain. These blocks are nothing but storages of some information. Blockchain technology is utilized from many years in different areas. After the invention of bitcoins in 2009, general people has great attention in it. Technically, blockchain is nothing but distributed ledger, which is open to all. If a block has a data entered in it, it is virtually impossible to efface it.

 

Blockchain-Process

The Blocks:

 

Firstly, we require to know what is available in each block.  Each single block has fundamentally three things. They are data, # and hash tag of the block in the same chain. We know that # is an identifier for each block that is same as human dactyl gram. Each block’s # is same as its nature of data. If data is transmuted than # tag additionally will transmute. Due to the #tag of the block of earlier tag it can’t be transmuted deliberately. It is virtually infeasible to transmute or expunge the data of a blockchain. If we relish to transmute the data of a block, we have to transmute the earlier block with it, or the whole blockchain would be invalid.

 

The blockchain working procedure:

 

Above description about the blocks and the chain substantiates that blockchain is very much secured. But another reason of its security is its network distribution. A Blockchain engenders a P2P network. A person who is involved in this network, he can verify each block. As each block of a blockchain verified more and more, it becomes more and more immutable. This is the procedure how the blockchain technology proceeds.

 

Example :The bitcoins

We know that the bitcoins are working with blockchain technology. If you have 5 bitcoins and you intend to send two bitcoins to me out of the five, this amount will transfer from your wallet to my wallet. When you send this amount to my wallet, a block will be engendered with all these information. The data is your wallet address, my wallet address and the amount. When others of the blockchain verify the data it will be permanent and the transaction would be completed. Those who verify, they are called bitcoin miner. Bitcoin miners will get fees for this verification process. Each transaction needs 10 minutes to engender a block.

 

 

 

Transportation management:

 

Let’s write about Blockchain technology in transportation management. We have seen that it powers cryptocurrencies e.g., bitcoins, through digital ledgers. Blockchain technology in transportation management ameliorates efficacy because of the technology’s capability and chronological elements. And the chronological elements avail with security, logging every time and place an asset changes. Blockchain inclines to be synonymous with cryptocurrencies, but they aren’t equivalent. [1]

Master data management:

 

In cases like transportation management, thus far, we can utilize Blockchain to capture and store data. Yet, if the technology can store all pieces of information in a single place, it could very well accommodate as a Master Data Management (MDM) system. If it were implemented as the core system, with access to key information such as: master data management and blockchain technology. Because it inherently fortifies data validation by network members, Blockchain could provide the function of “data stewards” in an MDM solution. The data validation process is much more refined in the Blockchain model since it would provide cryptocurrency incentives to members who provide this value. [2]

 

Carrier/Freight related issues:

 

Traditionally, shippers and brokers rely on carriers to provide this information either in paper or electronic format. Shippers and freight brokers have a team of resources dedicated to validating carriers and managing information within a transactional database. In many cases, load board data is outdated and inauthentic. But blockchain technology helps to create authentication and verified data. Also drivers and vendors can be paid with cryptocurrencies. [2]

Transportation Management App:

 

Albeit blockchain technology is very much promising, it is a nascent technology and required some caution while investing in it for transportation management application development. More research needed to engender best practices for development.  It is mentionable that an investor in this area need to utilize the application development framework Hyperledger Composer. Investment should be low initially as a caution against loss. As blockchain applications will require to handle a substantial amount of data, internet connection should be better for blockchain transportation management.

 

Conclusion:

Blockchain is the name of a categorical technology that is utilized in cryptocurrency and useable for other purposes, such as transportation management. If good applications are developed and utilized with caution it can be a great implement for conveyance management not only for tracking purpose, but withal for authentication and validation.  Other technologies in this area customarily depend on manpower or cross-checking. Which are costly and not enough to validate all the information.

 

Referenes/Bibliogrphy:
  1. Sears,Alec(2018). “6 Applications and Implications of Blockchain Technology in Transportation Management”. http://cerasis.com/2018/04/02/blockchain-technology-in-transportation-management/.Pages 1
  2. LEONARD,TIMOTHY (2017). “Blockchain for transportation: Where the future starts”.https://info.tmwsystems.com/blockchain-technology.Pages 1-14

Leave a Reply

Your email address will not be published. Required fields are marked *