It has been reported manufacturing organizations lose approximately $182 million annually due to supply chain disruptions and insufficient tracking of serialized goods. MILL5 is here to help you avoid these exact challenges with its blockchain and IoT services.
Manufacturing companies employ global supply chains that involve many players. Therefore, there may be opportunities to use blockchain in various ways to reduce manufacturing costs.
Blockchain is a distributed, tamper-proof ledger used to safely share transactions and data among multiple parties. A blockchain system enables manufacturers to efficiently track inventory levels, automate payments and conduct other transactions – saving both time and money while decreasing error risks.
Blockchain can help reduce warehouse holding costs and waste while helping manufacturers anticipate how much to order for efficient production delays. It allows manufacturers to predict how much to order ahead of time as deliveries arrive on schedule, giving them more predictability in production planning and scheduling.
Manufacturers can utilize blockchain to cut operating expenses further by employing predictive maintenance technology on equipment and machinery. By streamlining maintenance procedures, a manufacturer can reduce downtime, prevent unplanned expenses and extend equipment lifespans while improving performance and extending equipment lifespans.
Blockchain’s ability to track a product from development and prototyping all the way through distribution to customers can help manufacturers maintain an appropriate inventory level over time. This tool can be particularly valuable for manufacturers that produce complex products which need frequent inspections to keep running smoothly.
As manufacturing evolves, factories must become fully interconnected for maximum productivity. This requires sharing information between partners and suppliers both inside and outside industrial walls – and blockchain provides a safe platform for such exchange.
Bumble Bee Foods, for example, is using blockchain to enable consumers to trace and verify yellow fin tuna caught in Indonesia, with hopes of driving “a shift from quantity-oriented purchasing behaviors toward quality purchases”.
By connecting an IoT-enabled machine to a blockchain-based smart contract, manufacturers can streamline payment processes, eliminate error-prone manual calculations and automate payments at the click of a button – freeing employees up for other tasks while increasing productivity overall. MILL5 has experience implementing IoT-enabled machines for a variety of manufacturing organizing – from medical devices and healthcare to industrial manufacturing.
Blockchain can also facilitate the disintermediation of supply chain intermediaries that perform manual processes and charge add-on fees – helping manufacturing companies reduce operating expenses while improving service for their customers.
Successful blockchain initiatives start with an in-depth analysis of an organization’s existing challenges and future goals. MILL5’s team of experienced professionals can conduct a thorough assessment to uncover potential applications of blockchain in manufacturing. Get more info by reaching out now at info@mill5.com.
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