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Logistics and Supply Chain Management in Leather Industry Using Blockchain

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Logistics and Supply Chain Management in Leather Industry Using Blockchain

Conference Paper · May 2023


DOI: 10.1109/ICACCS57279.2023.10112883

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2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS)

Logistics and Supply Chain Management in Leather


2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS) | 979-8-3503-9737-6/23/$31.00 ©2023 IEEE | DOI: 10.1109/ICACCS57279.2023.10112883

Industry Using Blockchain


N. Nasurudeen Ahamed R Vignesh
School of Computer Science and Engineering, Presidency School of Computer Science and Engineering, Presidency
University, Bangalore – 560064, Karnataka India. University, Bangalore – 560064, Karnataka India.
nasurudeenahamed@presidencyuniversity.in, ORCID: vigneshr@presidencyuniversity.in
0000-0002-2777-8870

Abstract—Blockchain is one of the famous technologies industry is one of the major revenue industry in around the
nowadays. so, the paper can integrate into many research world. With the help of Blockchain technology, the paper has
departments and industries applications like to turn traditional logistics into smart logistics. That means
(Logistics/Healthcare/Energy Industry/etc.,). Here the paper we have to monitor the goods from supplier to consumer.
talk about Leather Logistics, it's one of the familiar logistics
around the globe. moreover, high revenue industrial Blockchain fuses different strategies to help a divide
application. coordination of the executive's application to give a records between a gathering of clients (associations,
bunch of capacities to design, plan, arrange, screen, and organizations, people, programming specialists, and so on) to
approve the performed exercises. Such capacities can be such an extent that everybody included concurs on its
effectively and safely upheld by blockchain. Utilizing the substance and all exchanges are secure and can't be changed
common appropriated records in blockchain to check, store and in the wake of being added. Also, it takes into consideration
review coordination exchanges will assist with diminishing time point-by-point following, estimation, and following of
delays, board expenses, and human blunders. Also, applying exchanges. Blockchain empowers a gathering of elements to
brilliant agreements will work with arrangements between the agree on a specific action and register that arrangement
organizations in question, what's more, make authoritative without the necessity for administrative power. They're
agreements quicker and with lower costs. With these settled upon exercises that can be enlisted, gotten, and shared
advantages, blockchain is expected to generously affect the
utilizing blockchain.[1][2]
coordination business. There are numerous new businesses in
this space that offer blockchain-based coordination of the II.RELATED WORK
executive's stages and applications. One model is Provenance,
which gives a detectability framework that joins customers and A. Blockchain
providers together for various coordination exercises. the paper Blockchain is a developing rundown of connected
can easily manage to track/trace the logistics goods with the help
records, named blocks, which are associated and gotten
of RFID Technology. Safely recording furthermore, sharing
utilizing encryption calculations. The way into the viability
conditional information, setting up mechanized and effective
production network measures, and upgrading
of this rundown is the connections that are made starting with
straightforwardness across the entire worth chain are a few one square and then onto the next, in this manner making it
instances of these issues. Blockchain offers a powerful approach difficult to change any square get-togethers added to the
to handling these issues by utilizing disseminated, shared, rundown. Consequently, we get the name ''blockchain'' as it
secure, and permission conditional records. The work of is essentially a chain of squares of information. This rundown
blockchain advancements and the chance of applying them in addresses an ensured online library for expressing some
various circumstances empowers the cowhide coordinations conceded to and went through with exchanges among various
industry through expanded proficiency and security; upgraded elements or associations. The recorded exchanges are
recognizability and straightforwardness; furthermore, and generally created because of specific exercises, for example,
diminished expenses. financial, business, mechanical, or framework exercises.
Keywords—Blockchain, Supply Chain, Logistics, Smart The squares that store the exchanges are normally
Contract, Track/Trace, RFID. timestamped, encoded, and imitated on numerous
destinations, and can't be adjusted. A gathering of individuals
I.INTRODUCTION or associations in an organization can utilize the blockchain
Blockchain technology is one of the growing technology to record a few exchanges (exercises) among them.
all over the world. so, we can't refuse easily nowadays. So, in The individuals from the gathering can by and large
the recent era, all business and industrial applications are survey the recently recorded exchanges; notwithstanding,
integrated into blockchain technology. Such as Healthcare, none of them can adjust or eliminate any of the recently
Food, Energy, and Logistics domains So, here the paper talk recorded exchanges. This makes blockchain keep a
about the logistics domain in the leather industry. The leather

979-8-3503-9737-6/23/$31.00 ©2023 IEEE

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2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS)

changeless history of the exercises of the gathering's Fig. 2 talks about the product flow of logistics. initially,
individuals. This set of experiences is shared among all or the paper take the raw material(Goat)and then the supplier &
chosen bunch of individuals. This offers significant levels of Manufacturer create the product as final (leather) products to
recognizability of any recorded exchanges and reach the final consumer. here, the paper take two types of
straightforwardness that permits everybody in question to see logistics. Inbound: From Raw Material to Manufacturer.
these exchanges. However, it likewise gives affirmations that Outbound: From Manufacturer to End User. [2][3]
these records (or blocks) can't be adjusted by anybody in the
gathering who made it or any other person, besides. The C. Supply Chain Management
consistent connections made between the exchanges are Supply Chain is a sequential process to take a raw Supply
settled upon by the gathering; yet, they are irreversible, Chain is a sequential process to take raw materials- final
consequently making it difficult to change. Fig. 1 represents products from the manufacturer to the end consumer. An
the basic structure of blockchain structure. Each block inventory network can be profoundly perplexing as it might
contains a unique hash code. so, hackers can’t easily hack the contain countless stages and every one of the elaborate
code. that's why blockchain is unique. In, each block contains gatherings needs to monitor the advancement of the item at
all information and is shared and distributed. [1] each stage. Some of the elements of the inventory network
the executives are stock administration, stockroom the board,
provider the board, transportation, accounting, and different
assignments. Frequently, the treatment of the item, as it
passes through the inventory network, is an exchange made
between members. Exchanges ought to be recorded precisely
also, dependably [4][5]. Flow of Supply Chain is shown in
Fig. 3. Difference betthe paperen logistics and supply chain
Fig. 1. Blockchain Structure management is shown in table i
TABLE I. DIFFERENCE BETTHE PAPEREN LOGISTICS AND SUPPLY CHAIN
B. Logistics Industry MANAGEMENT
Coordinations of the executive's applications are
Supply Chain
programming frameworks that assist with dealing with the Parameter Logistics
Management
conveyance of crude material, items, and administrations Objectives
between the makers/dealers and the buyer's objections. These Consumer loyalty Upper hand
and Aims
would all be able to be important for a solitary association or Associations Single Organization
Numerous
run across different associations and elements. Blockchain Organizations
Involved Involved
can offer incredible help to empower these applications. One Involved
Advancement
of the intricacies in coordination, with the board, is the and Customary Present day
association of various organizations in the exercises. This Development
may likewise incorporate various synchronized sub-exercises Relationship
Inside Supply Chain Consolidates
performed by various organizations like plants, stockpiling With One
Management Logistics
organizations, transporting organizations, and consistency Another
specialists. It is significant for any coordination of the Huge
Relationship Insignificant
Interactions with
executive's application to give a bunch of capacities to With Other Relationship with
different
design, plan, organize, screen, and approve the performed Departments different Departments
Departments
exercises. Such capacities can be effective also, safely upheld
by blockchain. Utilizing the common appropriated records in
blockchain to check, store and review coordination’s
exchanges will assist with diminishing time delays, the
executive's expenses, and human mistakes. Likewise,
applying keen agreements will work with arrangements
between the organizations in question furthermore, make
official agreements quicker and with lower costs.

Fig. 3. Flow of Supply Chain

III.PROPOSED WORK
A. Blockchain Enable Supply Chain Management
Blockchain alludes to an innovation that stores and
appropriates information dependent on data sets among all
Fig. 2. Product Flow of Logistics
clients who are partners taking part in the organization. All

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2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS)

members can get to definite exchange data continuously. goods reach the final wholesaler/retailer full amount will be
Before, exchange information was put away in an settled to the Supplier or Manufacturer. But in this traditional
incorporated center point framework and imparted data to method, the paper can't give assurance to the money
coordinate the exchange members. In any case, blockchain settlement for the suppliers. we cant give the assurance as to
innovation empowers individuals to share all data in light of whether our product is going to the proper destination. that's
decentralization, security, and savvy execution. All in all, all why we move to integrate blockchain technology. the paper
members can admittance to exchange subtleties in a steady propose a blockchain-based, Ethereum shrewd agreement
progression through distributed organizations (alludes to application for use in coordination, Smart agreements were
decentralization). Blockchain Used In Supply Chain is shown first effectively carried out in blockchain by Vitalin Buterik
in Fig. 4. in 2014, through the Ethereum stage, being basically
conventions that confirm, secure, and sanction exchanges or
arrangements between consenting gatherings in a
decentralized organization. They empower designers to make
blockchain frameworks that stick to the most fluctuated sets
of rules for proprietorship, exchanges, and state advances,
allowing additionally the decentralized stockpiling and the
board of information.[8][9]. Flow of Smart Contract is
shown in Fig. 5.

Fig. 4. Blockchain Used In Supply Chain

Additionally, in case of exchanges are performed by


marks, security is upgraded, and at last, straightforwardness
is gotten. Along these lines, if any functional issues happen,
Fig. 5. Flow of Smart Contract
they can be agreeably prepared immediately (security).
Moreover, once an exchange is recorded in the framework In Ethereum innovation explicitly, shrewd agreement
with an approved mark given to the clients, it stays unaltered. code is put away in the blockchain. To connect with it, clients
This component is classified as "permanence”. Given every execute work brings as exchanges, which can then, at that
one of these features, this innovation is relied upon to carry point change the shrewd agreement's state. Savvy contracts
advantages to numerous ventures. It significantly impacts the are subsequently practically identical to state machines that
supply chains, where data sharing is a key angle. This exist inside a blockchain. When the buyer came and visits the
investigation investigates how blockchain innovation leather lot and if he is satisfied to give the order(in tons) then
impacts store network executives. Inventory network the the appropriate manufacturer company make producing the
executives is a cycle that includes the whole interaction of leather goods (Belt /Shoe/Jacket/Wallet/Handbag/etc.,).but,
moving, putting away, and conveying items from the spot of in the traditional contract, we don’t know whether that
crude materials to create and to the last buyers. Blockchain particular manufacturer company using the first-grade leather
innovation is relied upon to bring different benefits to supply or not. so, that is why the paper integrated into this blockchain
chains, including expanding productivity and bringing down technology. especially in this one we have to switch over the
costs, which are the two primary targets of the stock chains traditional contract to a smart contract (eg: Ethereum). In this
Interim, the writing on blockchain-based inventory chains is Ethereum smart contract those who are In this network they
developing. Underneath, we sum up the four qualities of may join and data sharing a decentralized manner. Moreover,
blockchain-based supply chains: recognizability (or this one is transparent so it increases the trustworthiness
permeability), unwavering quality with security, between supplier and consumer. in this smart contract
synchronized exchange cycle, and cost proficiency.[6][7] technology, we generate the agreement using coding(Solidity
Language).so, no third party can tamper with the data.[10].
B Smart Contract
In, Leather Industry we can split leather into many
categories. First Grade and Second Grade, etc., In this first-
grade quality leather only the paper can take goods from
suppliers to reach the leather products like(shoes, Belt,
Wallet, etc.,) to the final consumer. but, in traditional leather
logistics buyers come and visit the manufacturing company
and take a look for the grade which means leather quality. if
the buyer is satisfied means we can make an agreement, once Fig. 6. Leather Goods Supply Chain Using Smart Contract

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2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS)

Fig. 6. represents those who are participating in the conventional paper mark. It has a specific enemy of
blockchain network coming forward and making a gentleman contamination capacity furthermore, against impedance
agreement. that means to create and invoked the Ethereum capacity. RFID is a
smart contract. so, it's really helpful for business logistics.
which means increasing the trustworthiness of the business.
Does it contain all the data? Does that mean which leather we
have to use? what are the goods we transport? all the details
are contained. The next part is a major role the paper have to
track those goods.

C. Goods Tracking and Traceability


In the above smart contract, the paper can give the Fig. 8. Leather Goods Tracking Using RFID Tag
agreement successfully with the help of blockchain
technology. but, anyway, we have to track the goods.so, the promising innovation that is expected to enhance or supplant
paper have to use IoT devices to track and trace the products. the traditional standardized identification framework as a
we will zero in on a launch of a blockchain application for intends to consequently recognize, track, and follow items all
items following in coordination and supported by Internet-of- through the production network.[13][14].In the above Fig. 8,
Things (IoT) innovation. Coordinations allude to the matter the paper has tracked and traced the goods with the help of an
of keeping up with and overseeing supply chains of products, RFID Tag when this tag we used in the Leather Logistics. the
from their starting place to the place of utilization. This paper track/trace the goods from supplier to consumer.
should be done such that meets the prerequisites of moreover, blockchain technology is distributed and
government specialists and clients. With each trade of transparent. so, the paper can easily monitor the goods. with
transporters/conveyors, the exchange of information should this help, the paper can avoid the goods tampering and
likewise happen as records, certificates, contracts, and other improve the revenue of the appropriate manufacturer
significant information. Having as a top priority normal company.[15]
issues like flawed following and following, information
altering also, expensive administration delays, the utilization IV.RESULTS
of a decentralized, permanent record, for example,
blockchain as a typical stage for organizations in the In, the above proposed work for the logistics and supply
coordinations business, combined with the utilization of IoT chain management for leather industry using in the
(sensor gadgets for following, could have a huge effect in the blockchain. To, generate the smart contract between the two
further developed security, speed, trust, and parties. It’s really helps a lot between the manufacturer and
straightforwardness for information trade happening in wholesaler/retailer. Because, to generate the agreement in
supply chains [11][12]. Leather Goods Supply Chain Using computerized moreover its hashing.so, no one breaches the
Blockchain – IoT is shown in Fig. 7. rules.

Fig. 9. Compiling Smart Contract.


Fig. 7. Leather Goods Supply Chain Using Blockchain - IoT
In, this above Fig. 9 describe the compiling the smart
RFID (radio recurrence recognizable proof) innovation is a
contract of the leather logistics between the two parties.After
non-contact programmed area and acknowledgment
compiling successfully to move on the initial migration of the
innovation. RFID innovation communicates and gets signals smart contract.
between the tag and the peruser by radio recurrence, and
understands the situating of the objective position and the In the Fig. 10 and Fig. 11 talks about the Initial migration
perception of the moving track. With high exactness, minimal and migration of the JavaScript(JS) file (smart contract). In
expense, and without manual interest, data can be perused the initial migration mention, the to deploy the migration and
and recorded, and RFID is not quite the same as the tells about the transaction hash, block number, contract

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2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS)

address, etc., So, both parties can able to see and no one can these applications, the paper had the option to recognize the
tamper the data. Because its create the hash value.Once the fundamental necessities for the viable usage of blockchain
deploy migration is over then move to the next migration(JS applications in the leather industry A portion of these
File) for the particular smart contract. Its also mentioned the difficulties has been tended to by the presentation of new
same detail to receive in the initial migration in the smart components or the utilization of current methods accessible
contract, wholesaler or retailer can able to see the remaining in other application procedures. In proposal work, I integrate
gas price(balance),total gas,total cost of the ether,etc., leather logistics into blockchain technology. so, the paper can
able to assist with diminishing the time delays, management
costs, and human errors. Facilitate quicker and more
proficient brilliant agreement arrangements between the
calfskin business organization associated with cowhide
logistics. securely and effectively support arranging,
scheduling, coordinating, planning, monitoring, and
approving the calfskin coordination exercises.In leather
goods, the paper can easily be monitoring with the help of
RFID Tag, The discernibility framework can record each
significant data during the time spent on cowhide products. It
is helpful for directors to deal with each connection of the
entire life cycle. Shrewd agreements impact network
Fig 10: Initial Migration of Smart Contract information sharing between inventory network members
and constant interaction improvement. Accordingly, they
give an association with exchanges between various
monetary forms or blend them from numerous sources in the
worldwide production network in a safe also, quick way. To
settle on the understanding in the lines of code. so, the paper
can work on the dependability of the individuals who are
associated with the business area. In future work, I try to talk
about the possibilities of Supply chain management 5.0. That
means human-robot co-working.
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