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BLOCKCHAIN IN TRANSPORTLOGISTICS &
SUPPLY CHAIN MANAGEMENT
September 11, 2017
BITKOM AK E-Logistics
& Digital Supply Chain
Page 2
ABOUT ME
Brief CV Frank Bolten
•  25 years senior management in CE/IT/telco biz
•  Companies: Sony, Deutsche Telekom, Sharp
•  Since 2011 focus on the digital transition
•  Experienced in the implementation of digital technologies
and applications e.g.:
•  e-Commerce since 1998
•  Renewable energies since 2004
•  Internet of Things since 2011
•  Digital Education since 2014
•  Blockchain since eof 2015 -> CHAINSTEP since 05/17
Page 3
BRAND PRESENCE
CHAINSTEP.COM
Actual brochureWebsite
Page 4
HAMBURG AS AN IMPORTANT
LOCATION FOR BLOCKCHAIN
https://www.chainstep.com/hamburg-als-wichtiger-standort-fuer-real-life-blockchain-applikationen/?lang=en
Page 5
DER DIGITAL HUB LOGISTICS HAMBURG
WURDE AM 1. AUGUST 2018 ERÖFFNET
Page 6
Blockchain Basics
A Blockchain is a
decentralized data
structure that allows
participants to transact
directly with each other
and stores the state and
history of participants’
transactions.
WEB EVOLUTION
Source: Harvard Business Manager
Page 9
BLOCKCHAIN ADDS VALUE
TO THE INTERNET
Page 10
PROOF-OF-WORK
ON A BLOCKCHAIN
Illustration by Matthäus Wander (Wikimedia)Source: DutchCoin on YouTube
Page 11
BITCOIN MINING
AVAILABLE BTC AND REWARDS
Source: www.bitcoinnotbombs.com
Page 12
HUNDREDS OF DIFFERENT
DIGITAL CURRENCIES
Status Sept 4 2017: 866 Currencies, Market Cap 152,083,122,450 (+476% since mid Mar 18, 2017)
http://www.economist.com/news/leaders/21677198-technology-behind-bitcoin-could-transform-how-economy-works-trust-machine
Peer-2-Peer transparent encrypted private uncensorable immutable
BLOCKCHAIN
CHARACTERISTICS
Page 14
KEY BENEFITS
BLOCKCHAIN TECHNOLOGY
increased transparency
improved risk diversification
automated regulatory oversight
less systemic risk
internal record keeping
documentation processing
multiparty process compatibility
M2M and AI on the internet (IoT)
more automation
cryptographically secured/validated
accountability and provenance
ownership tracking
more security
increased efficiency
decreased costs
faster processing
disintermediation
Florian Glatz,
Blockchain.Lawyer
hacking.law Legal Tech Conference
Berlin, February 2017
“Blockchains
convert data
into facts.”
Page 16
Ethereum: Blockchain 2.0
Page 17
ETHEREUM
BLOCKCHAIN 2.0
Page 18
ETHEREUM
BLOCKCHAIN APP PLATFORM
Vitalik Buterin
Ethereum Inventor
“If Bitcoin is money over the internet,
Ethereum is like relationships over
the internet.”
https://www.youtube.com/watch?v=x7Y4Qq8qPR8
Page 19
Smart Contracts
Page 20
Primavera De Filippi
National Center of Scientific Research (CNRS), Paris
“The term smart contract
can be so confusing.
Really it is just a self-
executing piece of code on
a distributed ledger.”
SMART CONTRACTS
NEITHER SMART NOR CONTRACTS?
Picture: BlockchainNews
Page 21
THE BASIC PRINCIPLES
OF SMART CONTRACTS
Source: http://blockgeeks.com/guides/smart-contracts/
Page 22
REMEMBER „ATOMIC“ AND YOU
KNOW WHAT BLOCKCHAIN OFFERS*
Programmable ASSETS
Programmable TRUST
Programmable OWNERSHIP
Programmable MONEY
Programmable IDENTITY
Programmable CONTRACTS
* based on „The Business Blockchain“ by W. Mougayar
Page 23
Public vs. Enterprise Blockchain
Page 24
CENTRALIZED – DECENTRALIZED –
DISTRIBUTED LEDGERS
Source: BlockGeekss
Page 25
PUBLIC BLOCKCHAIN /
ENTERPRISE BLOCKCHAIN
Source: CoinDesk Q3/2016 report
Page 26
PUBLIC VS PRIVATE BLOCKCHAIN -
REVOLUTION VS EVOLUTION
Private blockchain / DLTPublic blockchain
new paradigm
new rulebook
uncomfortable
disruptive innovation
status quo (more or less)
old rulebook
comfortable
efficiency innovation
evolutionaryrevolutionary
Source: https://bitsonblocks.net/2016/05/09/confused-by-blockchains-revolution-vs-evolution/
Industrial workflow toolsBitcoin and cryptocurrencies
Page 27
Blockchain projects
https://letstalkpayments.com/an-overview-of-blockchain-technology/
Page 29
„BLOCKCHAIN IN USE“
ON CHAINSTEP.COM
Page 30
BLOCKCHAIN
IN USE
Key wordsCategories
Authenticity
eCommerce
Energy
Enterprise
…
SCM
Security
Social media
Storage
...
Public
Enterprise
Info
Concept
Live
Consortium
Digital Asset
https://www.chainstep.com/use-cases/?lang=en
Page 31
BLOCKCHAIN IN USE:
THE MOST IMPORTANT PROJECTS
„Blockchain in use“ segments
Segment No. of projects*
Finance 108
Enterprise 44
Supply Chain Mgt 40
Government 34
Internet of Things 22
Security 18
Energy 18
Entertainment 12
* As of Aug 14, 2017, 364 projects in total, multiple tagging possible
https://www.chainstep.com/use-cases/?lang=en
Page 32
Blockchain in use: SCM/transport/logistics
Page 33
BLOCKCHAIN &
SCM/TRANSPORT/LOGISTICS
Page 34
BLOCKCHAIN USE CASE AREAS
TRANSPORT LOGISTICS
Document Management
Tracking & Tracing
Finance / Payment
Multiparty Agreements
Additive Manufacturing (3D Printing)
Page 35
Project Examples
Page 36
MICROSOFT + MOJIX
PROJECT MANIFEST
"Project Manifest is actually designed to look at
the challenges of visibility in the supply chain. One
of the reasons why we worked with Mojix is
because they already have technology and know-
how in supply chains for scanning RFIDs.“
-  Actually an academic project is carried out with
> a dozen companies (retailers and brands) by
the Aubun University
-  Turn a distributed ledger into the „connected
tissue“ that gives complicated cross-industry
supply chains real-time accuracy
-  Deploy Ethereum, automating the writing,
shipping and receiving of transactions in smart
contracts on the blockchain
Page 37
AGRIDIGITAL
TRUST&TRANSPARENCY
„At AgriDigital we develop solutions to real world
problems in the agriculture sector. We bring trans-
parency, efficiency and trust to farmers and the
post-farmgate ecosystem.“
-  Integrated commodity management solution for
the global grains industry
-  applied blockchain technologies, distributed
ledgers and smart contracts
-  realtime payment
-  increased efficiency
-  transparency
https://vimeo.com/208064273
Page 38
HANSEBLOC
SECURED E-BILL OF LADING
Project focus: utilize blockchain to secure the
consignment note and to enable new business
models. Therefore a consortium of complementary
stakeholders in transport&logistics is set up.
Targeted project duration: Jan 2018 – Jun 2020
Lead: „Logistik-Initiative Hamburg“
Participants: logistics, transport and IT companies
– universities - blockchain specialists
Project application submitted to Federal Minstry
for Economics Affairs and Engery April ´17
Feedback July ´17: project outline highly appre-
ciated, deadline complete application Aug ´17
Non-final logo
Page 39
More examples?
Watch the BVL webinar blockchain
Page 40
WEBINAR BLOCKCHAIN
IN KOOPERATION MIT DER BVL
https://youtu.be/l1PZhysCCkE
Page 41
WEBINAR BLOCKCHAIN
IN KOOPERATION MIT DER BVL
https://youtu.be/l1PZhysCCkE
Page 42
YOUR
CONTACT
contact
Frank Bolten
Managing Partner
phones
Mobile +49 151 212 64014
eMail frank.bolten@chainstep.com
online
Linkedin/com/in/frankbolten
Twitter/BoFrank01
Page 43
thank you.
Page 44
Appendix
Page 45
QR CODE
BLOCKCHAIN IN USE
https://www.chainstep.com/use-cases/?lang=en
Page 46
MAERSK + IBM
TRACKING CARGO ON BLOCKCHAIN
„The projects we are doing with IBM aim at
exploring a disruptive technology such as
blockchain to solve real customer problems and
create new innovative business models for the
entire industry“
-  End-to-end visability of customs documents,
bills of lading and other data to each parti-
cipant based on their level of permission
-  No one party can modify, delete or even
append any record w/o consensus
-  Fraud and error potential reduced, reduce
time and costs, improve inventory mgt
Page 47
Platform economy targets to adopt blockchain
Page 48
ESSDOCS (ASOF JULY ´17 NON-BLOCKCHAIN)
PAPERLESS TRADE SOLUTIONS
„essDOC´ mission is to enable paperless trade.
Our CargoDocs platform digitizes trade opera-
tions, finance and logistics. essDOCS´ vision is for
all domestic & international trade to be executed
in a digital & automated manner.
CargoDocs is a secure, cloud-based platform that
ties many disparate offerings into a modular,
complete paperless trade solution.“
In March 2017 essDOCS announced to work on a
blockchain module for CorgoDocs, which will
allow data relating to original electronic bill of
lading to be held on a distributed ledger.
essDOCS today is present in 168 countries serving more
than 18,000 customers and 37 banking groups.
Page 49
SKUCHAIN
BLOCKCHAIN BASED SCM PLATFORM
"Skuchain is a blockchain platform that provides
transparency, security and efficiency to the supply
chain, enabling optimal planning and agility for
downstream buyers and working capital relief for
upstream suppliers.“
-  IMT provides inventory financing that de-risks
transactions and unlocks capital opportunities for
the entire supply chain.
-  Popcodes are Proof of Provenance codes, a
crypto-serialization solution to track flow of goods
on SKU level.
-  BRACKETS are cryptographically secure smart
contracts governing an entire purchase cycle.
Page 50
Consortia funded by the government
Page 51
SMARTLOG
IOT BLOKCHAIN SOLUTION IN LOGISTICS INDUSTRY
Project focus: introducing a blockchain technology
application into the logistics business data transfer
traffic – not just as an commercial, proprietary
application suite, but rather as an industry-wide open
solution to which every interested and involved party
can join and from which every involved party can
directly benefit from.
project duration: Sep, 2016 – Auf 2019
Lead: Kouvola Innovation Oy, Finland
Areas: working, analyzing (data), developing (RFID etc)
Page 52
Projects at mayor european ports
Page 53
DUTCH CONSORTIUM
BLOCKCHAIN TECHNOLOGY FOR LOGISTICS
Target: tackle a large-scale blockchain project in
the logistics sector
Project start: Nov, 2016 – Eof 2018
Investment: 2,2 M €
Partners: TU Delft, ABN-AMRO, SCF Community,
Port of Rotterdam, RoyalFloraHolland, 10 others
The final result of the project is centred on
delivering three concrete use cases:
-  Chain financing
-  Supply financing
-  circular economics
Page 54
BLOCKCHAIN BASICS
IN 45 SEKUNDEN
https://youtu.be/diPioEGiszg
170911 bitkom ak_logistics

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170911 bitkom ak_logistics

  • 1. BLOCKCHAIN IN TRANSPORTLOGISTICS & SUPPLY CHAIN MANAGEMENT September 11, 2017 BITKOM AK E-Logistics & Digital Supply Chain
  • 2. Page 2 ABOUT ME Brief CV Frank Bolten •  25 years senior management in CE/IT/telco biz •  Companies: Sony, Deutsche Telekom, Sharp •  Since 2011 focus on the digital transition •  Experienced in the implementation of digital technologies and applications e.g.: •  e-Commerce since 1998 •  Renewable energies since 2004 •  Internet of Things since 2011 •  Digital Education since 2014 •  Blockchain since eof 2015 -> CHAINSTEP since 05/17
  • 4. Page 4 HAMBURG AS AN IMPORTANT LOCATION FOR BLOCKCHAIN https://www.chainstep.com/hamburg-als-wichtiger-standort-fuer-real-life-blockchain-applikationen/?lang=en
  • 5. Page 5 DER DIGITAL HUB LOGISTICS HAMBURG WURDE AM 1. AUGUST 2018 ERÖFFNET
  • 7. A Blockchain is a decentralized data structure that allows participants to transact directly with each other and stores the state and history of participants’ transactions.
  • 8. WEB EVOLUTION Source: Harvard Business Manager
  • 9. Page 9 BLOCKCHAIN ADDS VALUE TO THE INTERNET
  • 10. Page 10 PROOF-OF-WORK ON A BLOCKCHAIN Illustration by Matthäus Wander (Wikimedia)Source: DutchCoin on YouTube
  • 11. Page 11 BITCOIN MINING AVAILABLE BTC AND REWARDS Source: www.bitcoinnotbombs.com
  • 12. Page 12 HUNDREDS OF DIFFERENT DIGITAL CURRENCIES Status Sept 4 2017: 866 Currencies, Market Cap 152,083,122,450 (+476% since mid Mar 18, 2017)
  • 14. Page 14 KEY BENEFITS BLOCKCHAIN TECHNOLOGY increased transparency improved risk diversification automated regulatory oversight less systemic risk internal record keeping documentation processing multiparty process compatibility M2M and AI on the internet (IoT) more automation cryptographically secured/validated accountability and provenance ownership tracking more security increased efficiency decreased costs faster processing disintermediation
  • 15. Florian Glatz, Blockchain.Lawyer hacking.law Legal Tech Conference Berlin, February 2017 “Blockchains convert data into facts.”
  • 18. Page 18 ETHEREUM BLOCKCHAIN APP PLATFORM Vitalik Buterin Ethereum Inventor “If Bitcoin is money over the internet, Ethereum is like relationships over the internet.” https://www.youtube.com/watch?v=x7Y4Qq8qPR8
  • 20. Page 20 Primavera De Filippi National Center of Scientific Research (CNRS), Paris “The term smart contract can be so confusing. Really it is just a self- executing piece of code on a distributed ledger.” SMART CONTRACTS NEITHER SMART NOR CONTRACTS? Picture: BlockchainNews
  • 21. Page 21 THE BASIC PRINCIPLES OF SMART CONTRACTS Source: http://blockgeeks.com/guides/smart-contracts/
  • 22. Page 22 REMEMBER „ATOMIC“ AND YOU KNOW WHAT BLOCKCHAIN OFFERS* Programmable ASSETS Programmable TRUST Programmable OWNERSHIP Programmable MONEY Programmable IDENTITY Programmable CONTRACTS * based on „The Business Blockchain“ by W. Mougayar
  • 23. Page 23 Public vs. Enterprise Blockchain
  • 24. Page 24 CENTRALIZED – DECENTRALIZED – DISTRIBUTED LEDGERS Source: BlockGeekss
  • 25. Page 25 PUBLIC BLOCKCHAIN / ENTERPRISE BLOCKCHAIN Source: CoinDesk Q3/2016 report
  • 26. Page 26 PUBLIC VS PRIVATE BLOCKCHAIN - REVOLUTION VS EVOLUTION Private blockchain / DLTPublic blockchain new paradigm new rulebook uncomfortable disruptive innovation status quo (more or less) old rulebook comfortable efficiency innovation evolutionaryrevolutionary Source: https://bitsonblocks.net/2016/05/09/confused-by-blockchains-revolution-vs-evolution/ Industrial workflow toolsBitcoin and cryptocurrencies
  • 29. Page 29 „BLOCKCHAIN IN USE“ ON CHAINSTEP.COM
  • 30. Page 30 BLOCKCHAIN IN USE Key wordsCategories Authenticity eCommerce Energy Enterprise … SCM Security Social media Storage ... Public Enterprise Info Concept Live Consortium Digital Asset https://www.chainstep.com/use-cases/?lang=en
  • 31. Page 31 BLOCKCHAIN IN USE: THE MOST IMPORTANT PROJECTS „Blockchain in use“ segments Segment No. of projects* Finance 108 Enterprise 44 Supply Chain Mgt 40 Government 34 Internet of Things 22 Security 18 Energy 18 Entertainment 12 * As of Aug 14, 2017, 364 projects in total, multiple tagging possible https://www.chainstep.com/use-cases/?lang=en
  • 32. Page 32 Blockchain in use: SCM/transport/logistics
  • 34. Page 34 BLOCKCHAIN USE CASE AREAS TRANSPORT LOGISTICS Document Management Tracking & Tracing Finance / Payment Multiparty Agreements Additive Manufacturing (3D Printing)
  • 36. Page 36 MICROSOFT + MOJIX PROJECT MANIFEST "Project Manifest is actually designed to look at the challenges of visibility in the supply chain. One of the reasons why we worked with Mojix is because they already have technology and know- how in supply chains for scanning RFIDs.“ -  Actually an academic project is carried out with > a dozen companies (retailers and brands) by the Aubun University -  Turn a distributed ledger into the „connected tissue“ that gives complicated cross-industry supply chains real-time accuracy -  Deploy Ethereum, automating the writing, shipping and receiving of transactions in smart contracts on the blockchain
  • 37. Page 37 AGRIDIGITAL TRUST&TRANSPARENCY „At AgriDigital we develop solutions to real world problems in the agriculture sector. We bring trans- parency, efficiency and trust to farmers and the post-farmgate ecosystem.“ -  Integrated commodity management solution for the global grains industry -  applied blockchain technologies, distributed ledgers and smart contracts -  realtime payment -  increased efficiency -  transparency https://vimeo.com/208064273
  • 38. Page 38 HANSEBLOC SECURED E-BILL OF LADING Project focus: utilize blockchain to secure the consignment note and to enable new business models. Therefore a consortium of complementary stakeholders in transport&logistics is set up. Targeted project duration: Jan 2018 – Jun 2020 Lead: „Logistik-Initiative Hamburg“ Participants: logistics, transport and IT companies – universities - blockchain specialists Project application submitted to Federal Minstry for Economics Affairs and Engery April ´17 Feedback July ´17: project outline highly appre- ciated, deadline complete application Aug ´17 Non-final logo
  • 39. Page 39 More examples? Watch the BVL webinar blockchain
  • 40. Page 40 WEBINAR BLOCKCHAIN IN KOOPERATION MIT DER BVL https://youtu.be/l1PZhysCCkE
  • 41. Page 41 WEBINAR BLOCKCHAIN IN KOOPERATION MIT DER BVL https://youtu.be/l1PZhysCCkE
  • 42. Page 42 YOUR CONTACT contact Frank Bolten Managing Partner phones Mobile +49 151 212 64014 eMail frank.bolten@chainstep.com online Linkedin/com/in/frankbolten Twitter/BoFrank01
  • 45. Page 45 QR CODE BLOCKCHAIN IN USE https://www.chainstep.com/use-cases/?lang=en
  • 46. Page 46 MAERSK + IBM TRACKING CARGO ON BLOCKCHAIN „The projects we are doing with IBM aim at exploring a disruptive technology such as blockchain to solve real customer problems and create new innovative business models for the entire industry“ -  End-to-end visability of customs documents, bills of lading and other data to each parti- cipant based on their level of permission -  No one party can modify, delete or even append any record w/o consensus -  Fraud and error potential reduced, reduce time and costs, improve inventory mgt
  • 47. Page 47 Platform economy targets to adopt blockchain
  • 48. Page 48 ESSDOCS (ASOF JULY ´17 NON-BLOCKCHAIN) PAPERLESS TRADE SOLUTIONS „essDOC´ mission is to enable paperless trade. Our CargoDocs platform digitizes trade opera- tions, finance and logistics. essDOCS´ vision is for all domestic & international trade to be executed in a digital & automated manner. CargoDocs is a secure, cloud-based platform that ties many disparate offerings into a modular, complete paperless trade solution.“ In March 2017 essDOCS announced to work on a blockchain module for CorgoDocs, which will allow data relating to original electronic bill of lading to be held on a distributed ledger. essDOCS today is present in 168 countries serving more than 18,000 customers and 37 banking groups.
  • 49. Page 49 SKUCHAIN BLOCKCHAIN BASED SCM PLATFORM "Skuchain is a blockchain platform that provides transparency, security and efficiency to the supply chain, enabling optimal planning and agility for downstream buyers and working capital relief for upstream suppliers.“ -  IMT provides inventory financing that de-risks transactions and unlocks capital opportunities for the entire supply chain. -  Popcodes are Proof of Provenance codes, a crypto-serialization solution to track flow of goods on SKU level. -  BRACKETS are cryptographically secure smart contracts governing an entire purchase cycle.
  • 50. Page 50 Consortia funded by the government
  • 51. Page 51 SMARTLOG IOT BLOKCHAIN SOLUTION IN LOGISTICS INDUSTRY Project focus: introducing a blockchain technology application into the logistics business data transfer traffic – not just as an commercial, proprietary application suite, but rather as an industry-wide open solution to which every interested and involved party can join and from which every involved party can directly benefit from. project duration: Sep, 2016 – Auf 2019 Lead: Kouvola Innovation Oy, Finland Areas: working, analyzing (data), developing (RFID etc)
  • 52. Page 52 Projects at mayor european ports
  • 53. Page 53 DUTCH CONSORTIUM BLOCKCHAIN TECHNOLOGY FOR LOGISTICS Target: tackle a large-scale blockchain project in the logistics sector Project start: Nov, 2016 – Eof 2018 Investment: 2,2 M € Partners: TU Delft, ABN-AMRO, SCF Community, Port of Rotterdam, RoyalFloraHolland, 10 others The final result of the project is centred on delivering three concrete use cases: -  Chain financing -  Supply financing -  circular economics
  • 54. Page 54 BLOCKCHAIN BASICS IN 45 SEKUNDEN https://youtu.be/diPioEGiszg