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Digital and incorruptible: blockchain technology can also be used to improve logistics processes. DB Schenker has co-developed a system designed for supplier management purposes

Photo: iStock / BlackJack3D

DB Schenker is pioneering the use of blockchain technology in logistics – in collaboration with VeChain, a blockchain startup specializing in this type of service. The partners have co-developed a system to evaluate the performance and service quality of third party logistics providers that DB Schenker uses in China. Within the logistics industry, this application is the first ever implementation of blockchain technology for supplier management purposes.


Analysts believe this technology has the matchless potential to revolutionize the logistics industry. Blockchain is a kind of digital ledger in which all transactions are automatically recorded in a protocol. Each transaction is secured with a timestamp and linked to the previous block, much like a chain. One of the key advantages of this process is the fact that it makes fraud and manipulation virtually impossible. As a result, the level of integrity of the data contained in a blockchain protocol is correspondingly high – and in the case of the system co-developed by DB Schenker, it contains data on third party logistics providers.