LCL taking Luxembourg business players to the forefront of blockchain
Cargolux hosted the first session of the Digital Supply Chain Roundtable Series organised by the LCL on 14 June, with a panel of corporate and government representatives learning about and exchanging ideas on blockchain technology.
The diversity of the participants’ background and experience contributed to an enriching discussion in the context of the Luxembourg digital economy, ranging from technical and security related aspects to application ideas.
In global supply chains today, products travel through a large network of retailers, distributors, suppliers and sub-suppliers that holds many layers which still are hard to see. The blockchain infrastructure can increase transparency, visibility and build up trust in existing supply chains while allowing new participants to join rather seamlessly.
Participants addressed different applications and expectations, from facilitating vendor relationships and contract management, to efficient digitised and secured exchanges as well as corporate social responsibility.
Increased trust between parties through the inherent blockchain idea of open, safe and secure documented transfers are the major gain that will need to be translated into business opportunities, it was concluded.
Valuable insights from Infrachain – the Luxembourg blockchain initiative –were shared with the participants.
The transition to a blockchain environment may come in stages. A good example was the reference to the transmission control protocol (TCI/IP) that lay the foundation for the Internet. It started as the ARPA net between researchers, but transitioned over time and morphed from local, private networks to the worldwide web. This web first allowed businesses to move their activities online and has contributed to the emergence of new distribution business models. In a similar manner, local blockchain solutions will likely open the way for solutions that will bring together a large and diverse number of companies and institutions.
While there are still many questions and obstacles, from creating the ecosystem and partners to connecting the real world to the virtual, today is the right time to start preparing for the age of shared data.
The Cargolux plant tour was another opportunity to illustrate how digital implications are critical in today’s and tomorrow’s business.
The next session of LCL Digital Supply Chain Roundtables is planned for the third quarter of 2017.