container shipping
Over the years, container shipping remains the most used transport means by at least 90 percent of the global traders. As a result of over-reliance into the transport means, it makes it essential to control the supply chain of the containerized shipment movement. Other researchers have engaged in almost similar researches. They have been in the position, for instance, to elaborate on the changes that have occurred throughout the historical period of existence of the transport means. Many individuals are involved in the approval process, especially when a party wishes too offshore their business from one country to another. The requisite approvals and clearance systems are carried out manually, making the process hectic and, in the long run limiting worldwide production process and distribution operations. The occurrence is a result of having a shipment process that is characterized by delays, ineffectiveness, and also inefficiency. The need for automation of some of the methods thereby arises to provide a solution to the process experienced in the shipment industry. It is only possible upon the incorporation of technology in the management of shipment containers. In the long run, some of the results realized are effecting global trade as traders and manufacturers can make well-planned decisions related to the supply chain. Some of the technologies available to resolve the current problem are like blockchain technology and which was first introduced in 2008. Throughout that period up to date, blockchain technology is still receiving proper attention from authorities such as the government, and academia, among others. Block-chain provides a wide range of applications and utilized other institutions such as insurance, healthcare system, banks, and logistics, making it well-known and famous. One of the applications offered by blockchain technology and that numerous people in the Bitcoin use it. With blockchain technology, all the parties, for instance, those involved in approval and clearance of cargo, will have a conventional ledger accessible by each of them that distributes information from one office to another.
The need for centralized authority and also neutral party to offer managerial or go ahead, or to certify or even carry out the processing of the transactions thereby eliminated. With bitcoins, transactions are verified by the miner nodes which unite each transaction that occurred in the various block available. Afterward, upon the aggregation of all trades, the summary is channeled to the ledger shared by all relevant parties. Agreed upon algorithm is followed by the minor codes, and some of them include proof-of-work to authenticate and settle on issues related to the various transactions that occurred in the numerous blocks. The algorithm makes the blockchain system safe, harmonized, and ensures the shared transaction records are not in a position to be edited. In other industries such as Toyota Company, blockchain technology is used as a means of authenticating goods while on the supply chain. Blockchain technology applications in the health care system are utilized to control the possibility of leaking critical electronic medical records data, which may result in loss of confidentiality.
To improve the supply chain transaction efficiency, it is possible to introduce exclusive properties and blockchain architecture. Supply chain management focuses on ensuring that it can track the condition of container shipped items and their location without the involvement of a third party who sometimes may provide incorrect information. The numerous current shipment process participants, whereby each provides records and logs, are thereby eliminated. Logs provide updates from one participant to the next as the chain continues. For a blockchain to be adopted, it must have qualities such as the ability to give enough visibility as well as traceability of location. The tracing process should have a united, reliable, and also a log that is not alterable. In addition to this, it should also be reachable to all the stakeholders all over the globe. In cases whereby some alterations or changes are made in the shipment conditions, all the stakeholders must be informed, majorly on items sensitive to temperature rates such as donated body organs, samples of blood, and vaccines, among other commodities that fall under the cold chain management category.
To address the issues facing shipment management, the adoption of a blockchain is crucial to increase the efficiency of supply chain management, mainly through smart containers. In particular, the Ethereum blockchain and which provides intelligent contract features are utilized in this case. As a result, interactions between the sender and the receiver of the shipped commodity are governed and managed via the system. The exported products via smart containers have unique features such as Internet of Things (IoT) sensors and which are used in tracking and also monitoring the earlier set shipping conditions like temperature, humidity, pressure, exposure to light, sudden fall, broken seal, and even the geographical location of the commodity among others. With the adoption of Ethereum smart contracts, the shipping conditions are managed, payment methods made automatic, identification of the legitimate receiver done, and also refund done in case the predefined shipment conditions are violated. The system is already tested elsewhere using the RemixIDE environment and availed to the public for either educational use, further research, or usage in the communities.