The Pragmatic Use of Blockchain in Apparel
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- Griselda Powers
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1 The Pragmatic Use of Blockchain in Apparel Hosted by United States Fashion Industry Association (USFIA) and Bamboo Rose March 22, :00 P.M. Eastern/11:00 A.M. Pacific
2 At any time during the presentation, you may enter your questions here:
3 Sue Welch CEO, Bamboo Rose March 22, 2018
4 Today s Topic 1. Intro 2. Anxious about blockchain? 3. Blockchain in retail-speak 4. Blockchain use cases for retail 5. Recommendations to prepare for the blockchain evolution 4
5 The Value of A Platform for the Retail Community 250,000 Users 35,000+ Companies $725B Sales Discover, develop, & deliver consumer speed
6 Buyers Designers Lenders Inspection Companies Franchisees Franchisee s Product Dev Carriers Customers Suppliers Mills Customs Brokers Freight Forwarders Sourcing Bamboo Rose Platform B2B Marketplace PLM Global Sourcing Order & Sales Management Global Trade Management & P2P
7 Blockchain: What is it?...a technology?...a buzzword?...a process?
8 Blockchain defined Blockchain is a distributed ledger for maintaining a permanent and tamper-proof record of transactional data. A blockchain functions as a decentralized database that is managed by computers belonging to a peer-to-peer (P2P) network. Each of the computers in the distributed network maintains a copy of the ledger to prevent a single point of failure (SPOF) and all copies are updated and validated simultaneously. There are four standard methods blockchain and other distributed database platforms: Proof-of-work algorithm (PoW) Practical byzantine fault tolerance algorithm (PBFT) Proof-of-stake algorithm (PoS) Delegated proof-of-stake algorithm (DPoS)
9 FOUNDATIONAL VS DISRUPTIVE Blockchain is where the Internet was 20 years ago, delivering some benefit, but not mainstream.
10 At least a decade away
11 Blockchain for Retail Today
12 Blockchain Process
13 Buyers Designers Lenders Inspection Companies Franchisees Franchisee s Product Dev Carriers Customers Suppliers Mills Customs Brokers Freight Forwarders Sourcing Multi Enterprise Network Platform B2B Marketplace PLM Global Sourcing Order & Sales Management Global Trade Management & P2P
14 Discover, Develop, Deliver Transactions Retailer Product BOM Sourcing- Sampling/ PO to manufacturer Agents confirm readiness & compliance Manufacturer accepts PO Component Suppliers confirm components Manufacturer confirms receipt Carrier confirms goods in transit Carrier confirms goods receive/ Supplier creates export documentation BR books freight; receives confirmation Inspection Company confirms prod. & quality Manufacturer updates PO Goods enter & clear customs Domestic carrier picks up goods Warehouse arrival, Distribution Center BR creates payment request Lending institution confirms
15 Trust Mitigates Risk
16 Two Use Cases, Two Retail Strategies Smaller, more frequent shipments Extended payment terms
17 Smaller, More Frequent Shipments
18 The Blocks Retailer Product BOM Sourcing- Sampling/ PO to manufacturer Agents confirm readiness & compliance Manufacturer accepts PO Component Suppliers confirm components Manufacturer confirms receipt Carrier confirms goods in transit Carrier confirms goods receive/ Supplier creates export documentation BR books freight; receives confirmation Inspection Company confirms BOM/product quality Manufacturer updates PO Goods enter & clear customs Domestic carrier picks up goods Components delivered to manufacturer BR creates payment request Finance partner confirms, lending decision & terms
19 Extended Payment Terms
20 The Blocks Retailer Product BOM Sourcing- Sampling/ PO to manufacturer Agents confirm readiness & compliance Manufacturer accepts PO Component Suppliers confirm components Manufacturer confirms receipt Carrier confirms goods in transit Carrier confirms goods receive/ Supplier creates export documentation BR books freight; receives confirmation Inspection Company confirms BOM/product quality Manufacturer updates PO Goods enter & clear customs Domestic carrier picks up goods Warehouse arrival, Distribution Center BR creates payment request Finance partner confirms, lending decision & terms
21 Other Strong Use Cases Sampling Fraud detection Quality Trace & track Sustainability Payments
22 Benefits End to end, trusted platform provides visibility and transparency throughout the supply chain Quality ensured/ improved Financing costs reduced by up to 70% Speed seconds versus days
23 Evolution, Not a Race Educate executives, teams and partners about blockchain Identify use cases where trust & cross validated information delivers value Tie use cases into corporate strategies Develop your ROI Establish or participate in a multi-enterprise network or private blockchain
24 Questions Contact Sue Welch at: or
25 Thank you for attending! For additional questions and information: Phone:
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