PROCUREMENT TECHNOLOGY
hundreds of millions of transactions per day , up from about one million 12-18 months ago . However , to fully support major industrial production , capacity needs to reach an estimated 40 billion transactions per day .
Ethereum is emerging as the dominant blockchain ecosystem , mirroring the tendency towards standardisation seen in other technology sectors .
Privacy Privacy remains a critical concern , especially for enterprise applications . Businesses require privacy to protect sensitive information about their operations , inventory and business relationships .
Recent developments in privacypreserving technologies are making blockchain more viable for enterprise use . EY has developed two key solutions :
• Nightfall : Nightfall is an Optimistic Zero-Knowledge ( ZK ) Roll-Up that helps enable private transactions on the public Ethereum blockchain . Using Nightfall , enterprises can orchestrate private transactions efficiently on the Ethereum mainnet without compromising the transparency , data immutability and security that Ethereum provides
KEY BENEFITS OF BLOCKCHAIN FOR PROCUREMENT
Enhanced transparency The use of blockchain can create a tamper-proof record of all the transactions and interactions in the procurement process , making it more difficult for bad actors to fabricate false records or commit fraud without it being flagged up to those in the department .
Improved traceability Through blockchain , organisations can track goods and materials through every step of the supply chain , offering end-to-end visibility to help uncover sources of counterfeit or substandard goods .
Smart contracts Procurement policies are vital , especially given the number of restrictions around supply chain and procurement . With the use of blockchain technology , smart contracts can be created to automate workflows and enforce predefined rules . This reduces opportunities for manual manipulation and ensures compliance with a company ’ s procurement guidelines .
196 October 2024