As a disruptive technology platform, blockchain is impactful, with the potential to redefine the operations and economics of many industries, writes KAMENDRAN GOVENDER, Procurement & Supply Chain Transformation Lead for Accenture Consulting.
Blockchain as a technology and concept that continues to be hyped in all industries. As a disruptive technology platform, blockchain is impactful, with the potential to redefine the operations and economics of these industries.
The technology brings value to various firms with the way it offers transparency, efficiency and security for financial transactions. In our view, blockchain can also lend its security and efficiency benefits to other areas as well, including Procure-to-Pay (PTP) processes. It can allow authentication around stakeholders, budgeting, service provision, invoicing and payment settlement.
Procure-to-Pay (PTP) is the multi-step process connecting a client with one or more service/product providers. Among other activities, it allows for the identification and authentication of stakeholders, budgeting, service provision, invoicing and payment settlement.
Among the current challenges faced by PTP programmes are generating sustainable cost reductions through disintermediation, efficiency improvement, fraud control and transparency enhancement. Blockchain technology can disrupt PTP processes and more importantly provide huge operational benefits in terms of speed, greater security and decreased workload by facilitating the exchange of information. The following outlines how blockchain technology can bring value to key PTP processes.
- Front-end system: A front-end interface is recommended to authorise vendors, define new catalogs, place purchase orders or sign contracts. This application can be an add-on to the blockchain or could be leveraged through existing procurement systems, if vendors decide to adopt this technology.
- Strong audit trail: As all parties are registered in the ledger, transactions are stored and a tamper‑proof audit trail is maintained. This type of end-to-end visibility into procurement is a well-established practice in the tracking of physical goods.
- Accelerated purchase order management: Purchase order and good receipt data would be exchanged on the blockchain at an accelerated pace when compared to current performance levels. As well, the blockchain could help identify the nearest and most cost-effective vendor within the network. This would help decrease lead time and workload associated with vendor searches, the processing of purchase orders and goods/services receipts.
- Reshaped invoice processing: Invoice scanning would no longer be required – thanks to shared access to the database, with the exchange of invoices supported by the blockchain. This would also help render the reconciliation process far less cumbersome as all authorised parties could review the same transaction, eliminating the need for reconciliations. Blockchain hosted transactions would feed into the company’s general ledger for general accounting and financial reporting purposes.
- Accelerated settlements: These would be accelerated as reconciliations and vendor/end user enquiries would not be required due to complete transparency and real-time access to a shared database. This could potentially disrupt in a positive sense business practices such as the standard D+30 days settlement deadline.
- Streamlined enquiries management: Blockchain’s greater transparency would diminish the need for enquiries and process status follow-ups, thus streamlining current enquiry management and control processes.
- Reduced money laundering risk: By permanently retaining historical payment information, suspicious transactions can be more easily identified.
- Greater security of transactions: This can be attained through a cloud-based contract repository and an integrated e-sign feature that verifies signer identity and authorisation.
In conclusion, adopting blockchain can bring dramatic change and businesses considering blockchain for PTP should first build the full business case, considering the above outline. The assessment scope should include existing PTP assets, processes, and should balance cost considerations.
As blockchain solutions gain momentum, more real-world situations will emerge where information on blockchains simply needs to be modified or removed. Accenture’s redactable blockchain is an innovation for financial services companies that makes it possible to deal with situations in a predictable fashion when things go wrong. An editable form of blockchain will make the technology more practical and useful for enterprise systems as well as accelerate its adoption.
Auto rivals team up for connected car demo
Rivals BMW, Ford and Groupe PSA, maker of Peugeot and Opel cars, have teamed up with the 5G Automotive Association (5GAA), Qualcomm Technologies and Savari for Europe’s first live demonstration of C-V2X direct communication technology operating across vehicles from multiple auto manufacturers.
The live demonstration also featured a live showcase of C-V2X direct communication technology operating between passenger cars, motorcycles, and roadside infrastructure. C-V2X is a global solution for vehicle-to-everything (V2X) communication in support of improved automotive safety, automated driving and traffic efficiency.
The demonstration exhibited the road safety and traffic efficiency benefits of using C-V2X for Vehicle-to-Vehicle (V2V) collision avoidance, as well as Vehicle-to-Infrastructure (V2I) connectivity to traffic signals and Traffic Management Centers (TMC). C-V2X was operated using real-time direct communications over ITS spectrum and demonstrated its ability to work without cellular network coverage, and underscores its commercial readiness for industry deployment as early as 2020. Superior performance and cost-effectiveness compared to other V2X technologies, along with forward-compatibility with 5G, make C-V2X direct communications a preferred solution for C-ITS applications.
Six demonstrations were shown including: Emergency Electronic Brake Light, Intersection Collision Warning, Across Traffic Turn Collision Risk Warning, Slow Vehicle Warning and Stationary Vehicle Warning, Signal Phase and Timing / Signal Violation Warning and Vulnerable Road User (pedestrian) Warning. The vehicles involved included two-wheel e-scooters provided by BMW Group, and automotive passenger vehicles provided by Ford, Groupe PSA, and BMW Group, all of which were equipped with C-V2X direct communication technology using the Qualcomm® 9150 C-V2X chipset solution. V2X software stack and application software, along with roadside infrastructure, were provided by industry leader, Savari.
C-V2X is globally supported by a broad automotive ecosystem, which includes the fast growing 5GAA organization. The 5GAA involves over 85 global members comprised of many leading automakers, Tier-1 suppliers, software developers, mobile operators, semiconductor companies, test equipment vendors, telecom suppliers, traffic signal suppliers and road operators.
Cellular modems will be key to the C-V2X deployment in vehicles to support telematics, eCall, connected infotainment and delivering useful driving/traffic/parking information. As C-V2X direct communication functionality is integrated into the cellular modem, C-V2X solutions are expected to be more cost-efficient and economical over competing technologies, and benefit from accelerated attach rates. C-V2X direct communication field validations are currently underway in Germany, France, Korea, China, Japan and the U.S.
C-V2X currently stands as the only V2X technology based on globally recognized 3rd Generation Partnership Project (3GPP) specifications, with ongoing evolution designed to offer forward compatibility with 5G. C-V2X also leverages and reuses the upper layer protocols defined by the automotive industry, including the European Telecommunications Standards Institute (ETSI) organization. C-V2X includes two complementary transmission modes:
- Direct communication as shown in this demonstration for V2V and V2I use cases
- V2N network communication, which leverages mobile operators for connectivity and delivers cloud-based services, including automated crash notification (ACN, as mandated by eCall), hazard warnings, weather conditions, green light optimal speed advisory (GLOSA), parking spot location, and remote tele-operation to support automated driving, to name a few.
“This demonstration builds on the successful C-V2X showcase we organised with our members Audi, Ford and Qualcomm in Washington DC in April, said Christoph Voigt, Chairman of 5GAA.
“We are excited to witness the growing momentum behind this life-saving technology and to see our members working together to deploy C-V2X, and to make it hit the road as soon as possible.”
“The BMW Group introduced the first C-ITS use cases already in 2013 with the market introduction of the BMW i3. Today most of envisaged C-ITS use-cases are already institutionalized. With the implementation of C-V2X, the BMW Group accomplishes the last set of the puzzle with a practical path to C-ITS showing quick benefits,” said Christoph Grote, Senior Vice President Electronics, BMW Group.
“With its ability to safely and securely connect vehicles, along with its evolution into 5G, C-V2X is integral to Ford’s vision for future transportation in which all cars and infrastructure talk to each other,” said Thomas Lukaszewicz, Manager Automated Driving, Ford of Europe. “We are very encouraged by preliminary test results in Europe and elsewhere which support our belief that C-V2X direct communications has superior V2X communication capabilities.”
“We’re moving forward with seamless communication between cars and their environment for enhancing road safety, as well as our customers’ safety,” said Carla Gohin, Group PSA’s Vice President for Research and Advanced Engineering. “Following the first European C-V2X direct communications demonstration we hosted with Qualcomm Technologies last March, we’re pleased to work with leading automotive and technology companies today to highlight that C-V2X interoperability is a reality.”
“This demonstration of interoperability between multiple automakers is not only another milestone achieved towards C-V2X deployment, but also further validates the commercial viability and global compatibility of C-V2X direct communications for connected vehicles,” said Enrico Salvatori, senior vice president & president, Qualcomm Europe and MEA. “We look forward in continuing to work alongside leaders in the automotive industry, like the 5GAA, BMW Group, Ford, Groupe PSA and Savari, to help advance the automotive industry’s shift towards a safer, connected and more autonomous future.”
“As one of the V2X pioneers, our company is extremely pleased to continue to help enable the next step in the V2X revolution that we helped start back in 2008,” said Ravi Puvvala, CEO of Savari. “For the last year and a half, the Savari team has worked diligently alongside the dedicated C-V2X engineers in the 5GAA partnership. The resulting string of increasingly impressive demonstrations is continuing to convince the world that C-V2X will soon be deployed around the world.”
Win a Poster Heater with Gadget and Takealot.com
This winter Gadget and Takealot.com are giving away three Poster Heaters, which look like posters but become heaters when you plug them in.
Three Gadget readers will each win a unit, valued at R550 each. To enter, follow @GadgetZA and @Takealot on Twitter and tell us on the @GadgetZA account how many Watts the heater consumes.
What’s the big deal about these heaters? Many of us are struggling to keep the balance between soaring electricity costs and the need to keep warm this winter.
However, the recently launched Poster Heater by EasyHeat and distributed in South Africa by Takealot.com is not only one of the most cost effective electric heaters currently on the market, it is also easy to setup and use.
As the name indicates, it is a poster similar to one you would hang on a wall. But, plug it in and it turns into a 300 Watt heater. The Poster Heater isn’t designed to heat hallways or large rooms, but rather smaller ones like a bedroom or a baby’s nursery or a dressing room.
It uses radiant heating, which means that it heats up in a couple of minutes and the heat is directed at the objects or people around it, quickly taking the chill out of the air and providing a comfortable ambient temperature.
The other advantage of radiant heating is that it doesn’t dry out the air like infrared or gas heaters. Users also don’t have to worry about their children or pets getting too close to it because, even though it gets hot, it can be touched.
To enter the competition follow the steps below:
Competition entry details:
3. The competition closes on 31 July 2018.
4. Winners will be notified via Twitter on 1 August and Takealot.com will be in touch to organise delivery.
5. The competition is only open to South African residents.