Why is value chain important to business? Value chain increases the efficiency of the business so that customers can receive the product with most value added at lowest possible cost. The end goal of value chain management (VCM) is to create a competitive advantage for the company by increasing the overall margin.

Information systems can serve strategically to enable the firm to produce its products at a lower cost or greater value. Internet technology makes it possible to extend the value chain so that it ties together the firm’s suppliers, business partners, and customers into a value web [Figure 3-12].

A value chain is a set of activities that an organization carries out to create value for its customers. The way in which value chain activities are performed determines costs and affects profits, so this tool can help you understand the sources of value for your organization.

Technology reduces labor costs by streamlining data-capture and reducing error-prone manual processes. Access to real-time, up-to-date information across the entire supply chain is having a significant impact on how companies are doing, and expect to do business.

Information technologies (IT) have the greatest impact on supply chain coordination by eliminating information delays and distortions, by reducing transaction costs, and, ultimately, by enabling e- collaboration, which is defined as business-to-business interaction facilitated by the Internet.

In recent years digital technologies have enhanced our information processing, communication, and storage capabilities, leading to disruptions in industry value chains. These disruptions have led to new competitive dynamics and even construction of new markets.

Use of information technology in supply chain management provides improved visibility and accountability. Use of technology can bring the necessary transparency into the whole process. It allows the manufacturing companies to have better control over product flow and information flow across the supply chain.

Two of the biggest benefits that supply chains can take from digitising their processes are speed and cost. Taking your operations to the next technological level can significantly cut the time it takes to make strategic decisions, whilst also boosting operational efficiency.

For supply chains in general, the role of the Internet has been to reduce the power of intermediaries. This disintermediation has simplified supply-chain management by making real time data on changes in demand and supply available to the markets, rather than having the information filtered through re-sellers.

With widespread adoption, the internet had a significant impact on supply chain management by creating electronic marketplaces, helping to realize cost reductions, increasing productivity, enabling e-procurement, integrating business processes and allowing for the creation of customized services ( Lancioni et al., 2003 …

In the supply chain, Internet of Things devices are an effective way to track and authenticate products and shipments using GPS and other technologies. They can also monitor the storage conditions of products which enhances quality management throughout the supply chain.

Digitization brings down those walls, and the chain becomes a completely integrated ecosystem that is fully transparent to all the players involved — from the suppliers of raw materials, components, and parts, to the transporters of those supplies and finished goods, and finally to the customers demanding fulfillment.

The 5 steps to digitize your supply chain are:

1. Consider your starting position and the risks involved.
2. Define your strategy.
3. Have a sustainable, long-term approach.
4. Conduct proper research and analysis.
5. Invest in capabilities.

3 Steps to a Digital Supply Chain

1. Step 1: Confirm the organization’s digital vision, and the supply chain’s role.
2. Step 2: Align the supply chain operating model to the digital vision.
3. Step 3: Prioritize digital technology investments.

Top Companies leveraging Blockchain

• Walmart. Walmart is utilizing Blockchain technology in order to add transparency to the food supply ecosystem by digitizing the entire food supply chain process.
• De Beers.
• UPS.
• FedEx.

How Blockchain Solves the Problems. Blockchain can help create a decentralized log of patient data that is transparent and public for all hospitals to access. Furthermore, there is no way to corrupt the data, so the entire problem of interhospital communication is resolved. Next comes security.

To create trust in the blockchain, one needs to verify relations between a few objects: Unique tokens, each containing a history of each previous owner. Transactions being broadcast to each node. The blockchain itself, containing a list of all past transactions and newly minted tokens.

Blockchain is a record-keeping, trust-building technology. It is a distributed-ledger system for securely recording, storing, managing, and transmitting transactions in a whole host of domains. We say “distributed” because the record of each transaction is kept in more than one place, sometimes in thousands.

Since it’s extremely difficult to grease the palms of hundreds of co-conspirators as opposed to a single deviant element, blockchains integrate trust and also reduce the cost of that trust (transaction fees) considerably.

With that in mind, here’s a list of seven excellent stocks you may want to consider if you want to invest in blockchain technology.

1. NVIDIA.
2. CME Group.
3. Square.
4. IBM.
5. Mastercard.
6. DocuSign.
7. Amazon.

The statistic is based on data provided by PatentSight. As of December 31, 2019, the London based company nChain holdings owned 32 patent families that were protected in the United States. IBM led the ranking with 185 active patent families….

Best Blockchain StocksTo Buy [Or Sell] In May

• NVIDIA Corporation (NASDAQ: NVDA)
• Marathon Digital Holdings (NASDAQ: MARA)
• Riot Blockchain Inc. ( NASDAQ: RIOT)
• Amazon.com Inc. ( NASDAQ: AMZN)

Amazon Managed Blockchain fully manages our blockchain infrastructure and shared network components, enabling us to focus on developing smart contracts to deliver additional value to our customers.”