White paper: Building the Blockchain Logistics Protocol
How OpenPort’s Blockchain Ecosystem is Creating a New Era in Emerging Markets Enterprise Transportation and Logistics
At OpenPort, we are committed to solving one of the greatest challenges in the modern supply chain – the cash flow problem.
Business to business transfer of ownership of retail goods accounts for over 6 trillion USD in Asia alone. Approximately 150 billion USD is spent on domestic road freight to move these goods. Transfers are made by outsourced transportation providers, who have limited technological capabilities as their core competency is the utilisation and management of transport assets (i.e. trucks and drivers).
Proof of Delivery (POD) is made by paper records, which are slow and open to dispute, affecting customer satisfaction and delaying the cash flow between shippers, retailers and transporters, impacting their ability to operate these businesses.
With paper POD as the de facto standard, we aim to change the industry through the adoption of electronic records. We are already doing this today, with our digital ePOD (electronic proof of delivery) being used to improve cash flow for clients across Asia. This technology is facilitated by our ecosystem which includes our OpenTM (transport management) software and Driver App, an application that allows truck drivers to use their phones to capture ePOD and send shipment data during transport.
Now, we are using blockchain technology in our ecosystem to create an immutable ePOD with an indisputable record of the freight’s history, linked to a digital agreement – a ‘smart contract’.
Digital payment via OpenPort’s token (OPN), made upon fulfilling the conditions of the smart contract and successful ePOD, will drastically accelerate the payment cycle to the benefit of all parties.
This is the potential of blockchain for enterprise transportation with OpenPort’s logistics protocol.