TITLE:
The Use of Block Chain in the Informal Distributed Manufacturing Industry in Kenya
AUTHORS:
Wahome E. Wangui, Thomas Ogoro Ombati, Robert Oboko
KEYWORDS:
Distributed Ledger Technology (DLT), Blockchain, Distributed Manufacturing, Aggregator, Supply Chain (SC)
JOURNAL NAME:
Journal of Service Science and Management,
Vol.15 No.4,
July
7,
2022
ABSTRACT: In the last decade,
research and development around distributed ledger technology (DLT) has grown
exponentially. The financial services industry has been revolutionized by the
explosion of cryptocurrencies like Bitcoin and Ethereum. Researchers have taken
the principles used in these cryptocurrencies and are using them to develop
other DLTs in various fields. This study explores how blockchain can be used to
provide traceability, visibility, and transparency in the Kenyan informal distributed manufacturing industry. SOKO, an aggregator
of artisans spread all over Nairobi, was the case study used. Purposive and
convenience-based were the sampling methods used. 48 SOKO supply chain employees
and active artisans were the sample population. Interviews and observations
were data collection methods used. Content analysis, a qualitative data
analysis method, was used to capture emerging and predetermined themes. Google
sheets and Dovetail were the tools used for this study. This paper finds that
the use of the immutability and proof of origin features of blockchain greatly
enhances traceability within a supply chain. It is imperative that the granular
information collected should be intuitive and accessible to all parties to enhance visibility. Amplified traceability and
visibility greatly improved transparency and accountability within the SOKO
ecosystem. A pivotal recommendation for future research is the usage of unit-based tagging technologies e.g. barcodes, QR codes, or RFID. The combined use of such technologies and blockchain
would achieve the highest level of traceability, especially when working with
diverse producers who produce similar products.