UPS, FedEx, SAP and Schneider National are just some logistics provider on the Blockchain in Transport Alliance (BiTA) team. Open Port, an Asian multinational digital logistics provider is the newest member of the BiTA team.
The logistics platform which adopts blockchain technology in transforming domestic distribution in emerging markets, made the announcement of its membership of BiTA yesterday. BiTA educates and sets standards for blockchain developments in the freight industry. In addition to Open Port and some earlier mentioned, some other members include: Penske, CH Robinson, JD.com and Globaltranz.
￼Max Ward, Founder and CEO of Open Port, had this to say about the announcement: “In developing regions, where the financial resources allocated for the movement of goods can reach as high as 25% of a nation's annual GDP, paper-based proof of delivery systems delay invoicing, impact working capital and open the door to disputes. For emerging markets experiencing economic growth, freight volumes are outstripping the capacity for efficient and cost-effective scaling, raising logistics costs. New technologies such as blockchain proof of delivery and tokenized micro-rewards for supply chain participants provide a clear solution.”
Utilizing blockchain to give users real-time status updates about packages right from tender until delivery, allows Open Port to save on costs, increase control for users and remove barriers to smooth cash flow. At the moment, the only digital logistics provider operating in Asia is Open Port. They are already supporting and providing their services to 7 out of the 10 multinational FMCGs, including other large shipping companies. Open Port's services facilitate transparency in operations of the supply chains of countries like Pakistan, India, China, Philippines, Hong Kong and Indonesia.
These services are delivered through the Open Port OpenTM (Transport Management) software. The driver app allows truck drivers to send real-time data on their packages and also obtain electronic proof of delivery (ePOD). The ePOD ecosystem, introduced in 2017 has been in existence since then. Open Port is now taking this application on the blockchain in order to create immutable ePODs. This means cases of disputes could be eliminated.
Drivers would be incentivized to send their data using the application by awarding OPN Tokens.
Commenting on the announcement, Craig Fuller, Managing Director of BiTA had this to say: "OpenPort's technology framework shows great promise and the Asian Pacific rim where the organization is focused is the world's factory. We are excited to partner and facilitate a forum for commercial success. As we strive to revolutionize the trucking industry in emerging markets throughout Asia and ultimately the world, we are honored to join such an esteemed Alliance. Blockchain offers a truly revolutionary solution to the financial and ecological detriments that have arisen in traditional transport systems, and we are very excited to collaborate with companies that share our ambition of welcoming a new era of efficiency and transparency for the transportation industry as a whole."
BiTA was founded in August last year with the aim of establishing standards of education and development of blockchain in the freight/ logistics industry. Since then, more than 250 companies have joined this team of the largest commercial blockchain alliance.
OpenPort would also be sponsoring the upcoming Transparency18, a two-day event holding at Atlanta, Georgia in May.