More Than Half of Shipping Executives Are Focusing on Blockchain Technology

Shipping, the industry that makes trading move around, is seemingly taking the blockchain by storm with 53% of senior shipping executives stating they are focusing on blockchain tech.

INTTRA Inc., a multi-carrier electronic marketplace for the ocean shipping industry, surveyed 130 participants attending its Technology Summit in Hamburg.

The attendance included more than 50% at C level shipping executives, with 38% representing shippers and Beneficial Cargo Owners, 35% technology companies and 27% carriers.

“It is clear, based on the feedback from our attendees and the momentum in our business, that the industry has moved over the digitalization tipping point. This is the year of moving from innovation to action,” John Fay, INTTRA CEO, said.

Other findings include the statement by 82% of responders that they have process automation and digitalization initiatives currently underway.

Moreover, 46% said their biggest challenge was data sharing across the supply chain. While 31% said it was “no shows.” That being someone who books the ship and doesn’t show up.

Both have been identified as areas where blockchain technology could assist. In regards to data sharing, as blockchains are in effect networks where all have the same data and can be sure no one but the inputer has changed them, it can facilitate easy collaboration and data exchanges.

In regards to no shows, the above data sharing could contain a rating of sorts to build a reputation and thus perhaps an accordingly variable price.

With the shipping industry so being one of the more surprising areas where blockchain technology has seemingly shown some real promise.

Some of it is merely as an excuse to digitize all other aspects, but that excuse does seem to be possible primarily because of blockchain technology as in a way it acts to “connect” all the different systems from different suppliers or aspects in a way everyone can be sure they are on the same page.

“Blockchain is one of the most promising technologies in logistics. It has the potential to digitalize many of today’s paper-based processes and overcome the multitude of different interfaces,” Martin Kolbe, Chief Information Officer of Kuehne + Nagel, recently said.

That suggests blockchain tech has gone mainstream in the shipping industry, with the survey’s findings indicating a tipping point has very much been reached.