FedEx is one of the biggest parcel delivery companies in the world. In their opinion, some new forms of technology can make a big impact moving forward. Their current plan of action seems to revolve around integrating blockchain technology. More specifically, the company recently completed its initial trial of blockchain-based proof of concepts. Some of those results were satisfactory and warrant a full-fledged product rollout. The logistics industry can benefit a lot from such a digital ledger.
There are many benefits to using blockchain technology in the logistics sector. This technology is transparent, permanent, and shared. All three key aspects are very important to companies such as FedEx. Ever since the company joined the Blockchain in Transport Alliance, things have moved along swiftly. The current goal is to create blockchain standards for the tech and transportation industry as a whole. Moreover, educational efforts for the freight industry are underway as well.
The FedEx Blockchain Journey Begins in Earnest
For now, it still remains unclear how FedEx will use a blockchain. Several ideas are being tossed around behind the scenes. Finding the current pipelines and improving upon their model will take some time. Options currently being considered include invoicing and address information. It is worth mentioning FedEx has shown a keen interest in this technology for over a year. This seems to confirm they have high expectations for this technology. No one knows which blockchain solution the company plans to use, though.
FedEx Freight VP of Strategic Planning Daly Chrystie comments:
“The important piece is to develop those data elements where we all agree. This is a unique thing where people who wouldn’t necessarily align around things are now sitting at the same table, aligning on what data elements and how the standards of this will be aligned moving forward.”
It is good to see FedEx embark on their blockchain journey at this stage. The FedEx Freight segment can certainly reap the benefits of these efforts in the future. Both public and private blockchain solutions are being contemplated right now. There are many different opportunities waiting to be explored. However, the company cannot afford to rush into any venture either at this point. Ultimately, the company hopes to connect all data pipelines together to improve overall information flow.