Leveraging blockchain for sustainable supply chain management: A data privacy and security perspective

This review examines how blockchain technology can be leveraged to enhance data privacy and security in sustainable supply chain management (SSCM). As global supply chains become increasingly complex and the demand for sustainability grows, ensuring data privacy and security has become a critical concern. Traditional supply chain systems often face challenges such as data breaches, lack of transparency, and difficulty in tracing products and materials. Blockchain technology, with its decentralized, immutable, and transparent architecture, offers a promising solution to these challenges. Blockchain can enhance data security by ensuring that data is tamper-proof, traceable, and encrypted, thus protecting sensitive information across the supply chain. It provides transparency while allowing permissioned access, ensuring that stakeholders can verify data without exposing confidential information. Furthermore, privacy-preserving technologies such as zero-knowledge proofs and homomorphic encryption allow verification of data without compromising its security. Smart contracts enable automated compliance with regulatory frameworks like GDPR, reducing the risk of human error and improving operational efficiency. The integration of blockchain in SSCM can improve traceability, transparency, and accountability, thereby promoting environmental and social sustainability. By tracking the origin and journey of goods, blockchain helps verify ethical sourcing practices and reduce carbon footprints. However, the technology also presents challenges, including scalability, integration with legacy systems, and cost considerations. Through case studies in industries such as food, textiles, and renewable energy, this review highlights the practical applications and benefits of blockchain for SSCM. It concludes that blockchain has the potential to revolutionize supply chain operations, but careful consideration must be given to overcoming its technical and financial barriers to widespread adoption.