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Running Head: BLOCKCHAIN TECHNOLOGY 1

Running Head: BLOCKCHAIN TECHNOLOGY 6

Title: Blockchain Technology

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There are worldwide supply chains, financial, government, healthcare services, and many industries. Innovators are busy exploring blockchain technology utilization methods in disrupting and transforming enterprise models to cope with the emerging business trends in the world (Balasubramanyam, 2020). Blockchain is a specified type of database which is different from a normal database in information storage. Data helps the operation enhancement of the company and the entire company's performance in the market.

Blockchain technology is useful in the storage of data in blocks and then combined. The technology is combined in block form and a temporal order per the duration they were entered in the computer. The main common information type stored in the blockchain is transaction ledgers. Blockchain technology has resulted in much advancement in vast industries, but in this case, we focus on the motor vehicle sector. Like the rest of the world's emerging business trends, industries must make use of blockchain technology to enhance industry performance and productivity increase.

The motor vehicle sector is vast and contains complex operations that make sure there is a huge production of standardized vehicles. The motor vehicle sector needs appropriate database systems to store information and data in a better way for faster retrieval. Blockchain technology has made numerous advancements in the motor vehicle sector. First is promoting higher transparency in the history transaction in the motor vehicle sector. It is in accomplishment by the distribution ledgers. All participants of the networks can share similar documentation, unlike personal copies. The shared documents may be updated by consensus. It means that each person should accept it. Changing a transaction record will necessitate alteration of all following records in the system and the whole network collusion. Blockchain data is more consistent, accurate, and transparent compared to pushing data through paper-heavy procedures.

Besides, the blockchain has helped in the enhancement of security in the motor vehicle sector database system. Sensitive information and data related to vehicle designs, cost of production, and other critical data are essential in the motor vehicle sector. Companies like Toyota can securely maintain vehicle records via the use of blockchain technology. Transaction concerning various vehicles must be in agreement before recording them in the system to avoid vehicle data and records manipulation. After a vehicle transaction approval, what follows is encryption and linkage to the preceding transaction.

Encryption of data is a better layer of security for the protection of company information and data. An example of encryption of data is installing passwords to the company's data systems in limiting access to the information to authorized users. The transaction information is stored in the computer networks instead of one server making it complex for a hacker to interfere with the data. Blockchain has a better opportunity to change how crucial information is shared by preventing unauthorized fraud and activity.

Besides, the blockchain has helped in improving traceability in the motor vehicle sector. The motor vehicle sector functions with hard motor vehicle supply chains. The motor vehicles go from the manufacturer to distributors to dealers before reaching the end customer in that supply chain. The difficult supply chain in the motor vehicle sector makes it difficult to trace a certain vehicle to its source.

Blockchain technology has made it simple by recording vehicles exchange in the system. It develops an audit path that depicts the vehicle's exact source and each stop it made before arriving at its current destination. Historical vehicles transaction helps in verifying motor vehicles authenticity and preventing any fraud. With the emerging vehicle theft issues, blockchain can be important in tracing the vehicle's source with issues. Traceability is crucial in any company that has a difficult supply chain process. It helps identify the source of specified detection that may be a result of the supply chain.

Likewise, improved speed and efficient process concerning the vehicle is still the blockchain advancement portion of motor vehicle companies (Wang & Shi, 2017). For the duration of time, the company relied on the traditional paper-heavy procedure, which made trading use a lot of time to probe to the errors made by humans, and there would need a meditation from the third-party. Blockchain was able to automate and streamline the procedures, enabling efficient and fast transactions at a higher rate of completion.

One digital ledger keeps the records shared among those that participate, therefore removing the requirement of reconciling many vehicles with relation to ledgers. The motor vehicle company accounts end up with a few clutter, which is simple to analyze and manage. Blockchain has made it easy to access similar data, therefore increasing trust among the motor vehicle industry workers without some intermediaries' requirement. It can increase fast and simple clearing and settlement procedures. Improved speed and adequate procedures shall assist in enhancing the products in the company, placing it in a good position of increasing its prosperity and development.

Furthermore, blockchain has essentially decreased its operations' cost, and processes did the motor vehicle companies. Price is the concerned aspect in the processing and manufacturing company as it is the one that determines the cost of the services. Blockchain has removed third parties and mediators in their trading process guarantee sine it increases trade even when their partners do not trust each other. Instead, trading partners only have believed in information on the blockchain (Treiblmaier, 2019). Price in the motor vehicle companies has been decreased because of the procedures and processes simplification utilized previously in the models on the traditional enterprise. The motor vehicle company's key stakeholders save the time and cost to review a lot of data in accomplishing the transaction as each person has permission to access one of the used versions. The decrease in cost has made vehicles to be highly affordable; therefore, sales have been used by motor vehicle companies, which has increased the level of profit. An increase in the level of their profit shall lead to the company's prosperity and success.

As described above, blockchain is important in any company since it assists in its enhancement the performance. Blockchain information helps industrial management enhance a better choice as they give a better analysis of several aspects of an organization. Organizations must use blockchain technology in their plans towards the improvement of their products and increase their growth. Organizations' data should have enough security to protect it from running in the wrong direction, destroying the enterprise or company's data system. Organizations must always be ready to adapt to the changes that may be made to increase their performance.

References

Balasubramanyam, K. (2020). Adaptation of blockchain technology in the manufacturing sector. 2020 International Conference on Mainstreaming Blockchain Implementation (ICOMBI). https://doi.org/10.23919/icombi48604.2020.9203545

Treiblmaier, H. (2019). undefined. Frontiers in Blockchain, 2. https://doi.org/10.3389/fbloc.2019.00003

Wang, J., & Shi, D. (2017). Learning from time-synchronized power system measurements with rare anomalous event records to detect PMU data manipulation attacks. 2017 IEEE Conference on Energy Internet and Energy System Integration (EI2). https://doi.org/10.1109/ei2.2017.8245273