• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Blogs » Think Tank » Expanding the Supply Chain: Using Blockchain to Optimize Storage Capacity

Think Tank
Think Tank RSS FeedRSS

Expanding the Supply Chain: Using Blockchain to Optimize Storage Capacity

For companies looking to navigate the challenges of e-commerce, blockchain offers a solution.

Expanding the Supply Chain: Using Blockchain to Optimize Storage Capacity
August 28, 2018
Scott Nelson, SCB Contributor

As a result of rising e-commerce, the demand for global shipping is at an all-time high. Freight lines have been forced to increase staffing volumes by nearly 20 percent, and trucking companies and warehouse operators created more than 15,000 jobs in July alone.

Yet as the demand for cheap and efficient delivery of goods rises, supply chains are suffering the consequences of inventory pileups. With the world’s commercial storage almost at its limit, many companies have had to find new ways to combat rising costs, streamline time delays, and eliminate inconveniences in the supply chain. Blockchain, the decentralized technology backing most cryptocurrencies, might just be that solution.

Blockchain technology is a decentralized ledger of information that can be used to input data along the supply chain. Unlike traditional recordkeeping, blockchain ledgers are immutable, meaning that information can be added to, but not edited or deleted. For organizations liaising with multiple vendors, blockchain holds tremendous value by using metrics to optimize best practices in real time. It’s an innovation set to revolutionize the way that modern retailers understand manufacturing, optimizing the use of storage capacity by eliminating bottlenecks in the system.

Blockchain can provide three different, but equally important, solutions to this problem. Firstly, it can increase liquidity for stored resources by releasing much of the working capital currently tied up in the supply chain. Using smart contracts, businesses can form trusted relationships with intermediaries, creating frictionless trade between buyer and seller. With faster payments, companies can ensure that products aren’t held in storage for longer than necessary. No longer will they have to cut through excessive red tape in order to obtain their accounts receivable, because transactions will occur instantaneously.

Secondly, blockchain allows for the sharing and monetization of underutilized assets, including trucks, planes, and cargo ships. There is an enormous missed opportunity for corporations to utilize untapped resources from the larger network. Millions of square feet of warehouse space are under the control of companies that don't use it, and  thousands of trucks are carrying less than full loads. However, with blockchain technology, companies can form meaningful connections with third parties in a way that promotes fair and equitable asset sharing.

Finally, and perhaps most importantly, blockchain provides greater transparency for companies looking to expose vulnerabilities along the supply chain, allowing them to minimize communication lags between trade partners. Picture blockchain as a decentralized accounting system that automatically tracks storage capacity, delivery times, and product liabilities at the touch of a button. Here, employees at all stages of the corporate ladder can input verifiable information onto the blockchain, which can then be used to gain a more detailed picture about vulnerabilities in the system. Companies can then extrapolate this information to highlight red flags, and ensure that storage space is being maximized to the best of its ability.

Ongoing growth in e-commerce isn’t going anywhere anytime soon. Society’s focus on convenience is only going to increase, and companies will need to continue to expand their storage capabilities in order to keep up with the pace. The simple fact is that companies cannot build out their infrastructures in time, and need to find another way to increase efficiency before it’s too late. Instead of buckling under the the pressure, they should find new ways to rise to the occasion. Through blockchain, this is more than a possibility; it’s a reality.

Scott Nelson is CEO and chairman of Sweetbridge.

Warehousing Cloud & On-Demand Systems Data Management (Big Data/IoT/Blockchain) Inventory Planning/ Optimization Supply Chain Finance & Revenue Management Supply Chain Visibility Business Strategy Alignment Quality & Metrics Order Management & Fulfillment Warehouse Management Systems Consumer Packaged Goods E-Commerce/Omni-Channel Retail

RELATED CONTENT

RELATED VIDEOS

Subscribe to our Daily Newsletter!

Timely, incisive articles delivered directly to your inbox.

Featured Product

Popular Stories

  • AERIAL VIEW OF A SHIPYARD SUPERIMPOSED WITH CYBERSECURITY SYMBOLS

    The Software Risk Hiding in Modern Supply Chains

    Business Strategy Alignment
  • GEARS MANUFACTURING iStock-bernie_photo-2219946641.jpg

    Five Current Challenges Preventing Real-Time Visibility in Connected Manufacturing

    Last Mile Delivery
  • 001_v1-(540p).jpg

    Watch: Closing the Skills Gap in Supply Chain Talent

    Education & Professional Development
  • MULTIPLE CHAOTIC CHARTS ARE SUPERIMPOSED ON AN AERIAL SHOT OF A BUSY INTERNATIONAL PORT

    The Quest for Supply Chain Resilience Remains Challenging

    Supply Chain Visibility
  • A blue and red striped container ship with "HMM" written along the side in large white lettering, with a green deck and two yellow towers

    Global Dual-Fuel Shipping Fleets Tops 500 Vessels

    Ocean Transportation

Digital Edition

Scb q3 26 cover

100 Great Supply Chain Partners 2026: The Secret to Supply Chain Success

VIEW THE LATEST ISSUE

Case Studies

  • Recycled Tagging Fasteners: Small Changes Make a Big Impact

  • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

    Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

  • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

    Moving Robots Site-to-Site

  • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

  • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

Visit Our Sponsors

4flow Amazon Freight Anaplan
Arkieva AutoStore Blue Yonder
Canadian National Railway Company Carton Cloud CoEnterprise
Dassault Descartes Dexory
Duravant E2Open EPG
General Logistics Systems GEP Hy-Tek
iGPS Knapp Korber
Lyngsoe Odyssey Logistics OMP
PeakAI Procurability Quinyx
SAP Sikick Staples
S&P Global Mobility Systech TADA
Tive TransImpact US Bank
Werner WSI
  • More From SCB
    • Featured Content
    • Video Library
    • Think Tank Blog
    • SupplyChainBrain Podcast
    • Whitepapers
    • On-Demand Webinars
    • Upcoming Webinars
  • Digital Offerings
    • Digital Issue
    • Subscribe
    • Manage Email Preferences
    • Newsletters
  • Resources
    • Events Calendar
    • 2026 Event Coverage
    • SCB's Great Supply Chain Partners
    • Supplier Directory
    • Case Study Showcase
    • Supply Chain Innovation Awards
    • 100 Great Partners Form
  • SCB Corporate
    • Advertise on SCB.COM
    • About Us
    • Privacy Policy
    • Contact Us
    • Data Sharing Opt-Out

All content copyright ©2026 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

Design, CMS, Hosting & Web Development :: ePublishing