US Navy Explore Blockchain Supply Chain Solution

US Navy Explore Blockchain Supply Chain Solution

The United States Naval Air Systems Command (NAVAIR) is exploring using blockchain to track aircraft parts in conjunction with Indiana Technology and Manufacturing Companies (ITAMCO).

According to an official press release the Navy are looking to do away with the old pen and paper record system and move to a permissioned blockchain similar to SIMBA, an ITAMCO product designed for a Defense Advanced Research Projects Agency (DARPA) project for tracking secure messages.


Speaking about the project, Logistics Management Specialist George Blackwood said “The Navy is very excited to work with ITAMCO on this cutting-edge technology to improve visibility, anti-tampering, traceability and data transparency in the NAVAIR supply chain.”

The wider issue of traceability in military logistics has become of paramount importance to many following last year’s revelation by Professor of Economics Mark Skidmore at Michigan State University and Catherine Austin Fitts, former Assistant Secretary of Housing and Urban Development, that around $21 trillion was unaccounted for at the US Department of Defense between 1998-2015.

As a result, advocates believe the need for transparency and accountability will be a major driver in the further adoption of the technology, not just within the US military but in the global supply chain of all governments and corporations.

In an article earlier this year, Max Ward, CEO of The OEL Foundation explained how the current paper-based system is open to inaccurate or fraudulent documentation and that it has created a bottleneck for economic growth.

According to Mr Ward, anyone who has to gauge logistical risk will see worth not just in the blockchain protocol layer that facilitates the source of value but also the application layer that is used to connect to the technology.

The OEL Foundation themselves are a non-profit organization open to enterprises in the supply chain and logistics industry who believe that measurable case studies will soon replace the concepts and proposals currently dominating the industry.