Assessing the potential of blockchain technology as an information-sharing platform in the major fruit export supply chains of South Africa

Date
2022-12
Journal Title
Journal ISSN
Volume Title
Publisher
Stellenbosch : Stellenbosch University
Abstract
ENGLISH SUMMARY: Supply chain management has become increasingly complicated with the deepening of globalisation. Supply chains and their stakeholders of first-tier and second-tier organisations have become significantly more versatile, at a time when there is an expanding relevance for delivery times, product quality, and efficiency. Information technologies are potentially supportive to the storage and exchange of data, and make the supply chain more easily manageable. This research study aims to assess the potential of blockchain technology for the major fruit export supply chains of South Africa, which are citrus, pome fruit, and table grapes. This research study follows a deductive approach and utilises a research methodology guided by a three-stage process. First, a systematic literature review was conducted to get a better understanding of blockchain technology and its potential for agricultural supply chains. Second, a qualitative multimethod data collection approach has been followed in the form of an industry case study. This research method has been adopted to get a better understanding of the information flows throughout the fruit export industry and how data is managed. Finally, in the analysis phase, the results of the previous two stages are combined to assess the potential of blockchain technology as an information-sharing platform in the South African fruit export industry. The results of the systematic literature review and the industry case study revealed the shortcomings of blockchain technology and the complexity of the South African fruit export supply chains. Both the produce exporter and the freight forwarder fulfil key roles when it comes to data management and the exchange of data elements. The decentralised systems of blockchain technology look very promising but they are still in the early phase of development. Despite its rapid improvements, the adoption of blockchain technology comes with many uncertainties which exposes its early stage of development at this stage. The analysis phase shows that neither blockchain technology nor the South African fruit export industry, is yet ready for the adoption of this system. The adoption of a decentralised system such as this brings a high degree of uncertainty as many challenges still need to be overcome. Besides that, the system requires a high-quality internet infrastructure which is not presently available for either entity. Nevertheless, the results show the relevance of supply chain transparency, visibility, and data quality on supply chain performance and their contribution to better-grounded decision-making processes. The recommendations given are intended to prepare the industry for the adoption of blockchain in the future. Investments are needed for further improvements of the domestic internet infrastructure in order to achieve blockchain’s potential. The improvements of blockchain technology are proceeding rapidly. It is recommended to follow these developments closely until blockchain is ready for industry-wide adoption. Until such time, recommendations are given on how to increase transparency, visibility, and data quality as these contribute significantly to supply chain performance and decision-making processes.
AFRIKAANSE OPSOMMING: Met die verdieping van globalisering word voorsieningskettingbestuur al hoe meer ingewikkeld. Voorsieningskettings en belanghebbendes van eerstevlak en tweedevlak organisasies, het aansienlik meer veelsydig geword in ’n tyd waar afleweringstye, produkkwaliteit, en doeltreffendheid meer relevant word. Inligtingstegnologie het die potensiaal om data te stoor en uit te ruil, en maak die bestuur van die voorsieningsketting makliker. Die doel van hierdie navorsingstudie is om die potensiaal van blokkettingtegnologie in die hoof vrugte uitvoer voorsieningskettings van Suid Afrika, bestaande uit sitrus, kernvrugte en tafeldruiwe, te evalueer. Hierdie navorsingstudie volg ’n deduktiewe benadering en gebruik ’n navorsingsmetodologie wat deur ’n drie-stap proses gelei word. Eerstens is ’n sistemiese literatuur oorsig gedoen om blokketting-tegnologie en die potensiaal daarvan in landbou voorsieningskettings beter te verstaan. Tweedens is ’n kwalitatiewe multimetode data-insamelings benadering in die vorm van ’n bedryfs gevallestudie gevolg. Hierdie navorsingsmetode is aangeneem om die inligtingsvloeie en data bestuur in die vrugte uitvoer bedryf beter te verstaan. Laastens is die resultate van die vorige twee fases in die ontledingsfase gekombineer om die potensiaal van blokketting-tegnologie as ’n platform om inligting in die Suid Afrikaanse vrugte uitvoer bedryf te deel, te assesseer Die resultate van die sistemiese literatuur oorsig en die bedryfs gevallestudie het die tekortkominge van blokketting-tegnologie en die kompleksiteit van die Suid Afrikaanse vrugte uitvoer voorsieningskettings uitgewys. Beide die produk uitvoerder en die expediteur vul belangrike posisies in data bestuur en die uitruil van data elemente. Die gedesentraliseerde sisteme van blokketting-tegnologie is belowend maar is steeds in die vroee ontwikkelingsfase. Ondanks vinnige verbeteringe kom die aanvaarding van blokkettingtegnologie met vele onsekerhede wat die onvolwassenheid daarvan op hierdie stadium blootle. Die ontledingsfase toon dat nog blokketting-tegnologie nog die Suid-Afrikaanse vrugte uitvoer bedryf gereed is vir die aanvaarding van hierdie stelsel. Die aanvaarding van ’n gedesentraliseerde stelsel soos hierdie bring ’n hoe mate van onsekerheid, aangesien baie uitdagings nog oorkom moet word. Daarbenewens benodig die stelsel 'n internet infrastruktuur van hoe gehalte wat tans nie vir enige van die entiteite beskikbaar is nie. Nietemin toon die resultate die relevansie van voorsieningsketting deursigtigheid, sigbaarheid, en data kwaliteit op voorsieningsketting prestasie en die bydrae daarvan tot beter gefundeerde besluitnemingsprosesse. Die aanbevelings wat gegee word, is bedoel om die bedryf voor te berei vir die aanvaarding van blokketting-tegnologie in die toekoms. Beleggings is nodig vir verdere verbeterings van die plaaslike internet infrastruktuur om blokketting-tegnologie se potensiaal te benut. Die verbetering van blokketting-tegnologie gaan vinnig voort. Dit word aanbeveel om hierdie ontwikkelings noukeurig te volg totdat blokketting gereed is vir bedryfswye aanvaarding. Tot tyd en wyl word aanbevelings gegee oor hoe om deursigtigheid, sigbaarheid en data kwaliteit te verhoog, aangesien dit aansienlik bydra tot voorsieningsketting prestasie en besluitnemingsprosesse.
Description
Thesis (MCom)--Stellenbosch University, 2022.
Keywords
Fruit -- Transportation -- South Africa, Fruit trade -- South Africa, Business logistics -- Data processing -- Management -- South Africa, Business logistics -- Information technology -- South Africa, UCTD
Citation