Team Calico

Theme (Governance issues)

The Governance issues prevailing in an organization leading to threat of data privacy, traceability of data, increased risk of errors in recording and organizing data, lower transparency in

the organization, manipulation of data and so on.

The problem statement

In this digital era, the issue of privacy and traceability of organizational records and transactions still exists due to unorganized storage and tracking system. The origin of the data,
especially the monetary transactions are difficult to track in a long term. Moreover, the human involvement in the traditional system plays a key role in managing the physical and digital
records. However, the chance of mistake remains and the risk increases where a human being manages the records and entries manually. Therefore, these problems lead to several
functional problems and reduces transparency among the stakeholders of the organizations.
 

Analysis/proposed solution to the problem statement

The use of Blockchain Technology will help in solving the above stated problems in an organization:
Security: Transaction are continuously synchronized using Blockchain Technology with nodes on network and history of transaction remains visible.
Decentralized: Blockchain Technology deviates the obligation from central command and minimizes the threat of data privacy.
Immutability: Blockchain provides a temper-proof environment in which once data has been added in block it can’t be altered or removed.
Traceability: The feature of Blockchain Technology provides the capability to figure out and track the origin of any transaction through digital signature .
Execution
Smart Contracts:
For executing smart contracts, a computer code is run on top of the blockchain whereby the parties set pre-defined rules beforehand. When these rules are
met, the agreement is considered to be completed and it is automatically enforced (Without third party administrators)

Transparent and secure financial transactions:

Smart contracts, digital payments through cryptocurrency, higher levels of security and non-corruptibility and its record-keeping abilities make the blockchain
technology useful for finance functions and the industry.
 
Improving the efficiency and effectiveness of supply chains:
The final products need to be packaged, stored in warehouses and delivered to the final consumers. It is a set of highly interconnected and interdependent
activities and an error in one step causes multiple losses to the business. So, there is a need for transparency, accountability and real-time tracking to ensure
that the processes are on-track and on-budget. Blockchain technology is helping supply chain management on these fronts.
 
Blockchain based BI and analytical tools for smarter prediction:
With the voluminous data that gets stored in the blockchain, it is obvious that it is easier to analyze the data and unearth deeper insights and make smarter
predictions.

Impact
Cost - Blockchain technology can be considered as one of the main drivers to achieve a substantial cost saving. According to a Santander
FinTech study, distributed ledger technology could save between $15 billion and $20 billion per year in financial services infrastructure costs
by 2022.
Time Impact- Smart contracts are just a software code that runs with the help of an Internet; thus, the speed of completing the transactions
is too fast. Smart contracts, unlike traditional contracts, save hours and even days, thus accelerating the business processes.
Impact on Beneficiaries- Blockchain will help in providing stakeholders better security, privacy, and traceability.