Enhancing Supply Chain Transparency in the Automotive Industry: A Blockchain-Based ERP System Approach

This study explores integrating blockchain technology into enterprise resource planning (ERP) systems to enhance supply chain transparency, traceability, and data integrity. We address the pervasive challenge of product origin verification within industrial supply networks by proposing a blockchain-based ERP framework. Through a comprehensive analysis, we compare traditional on-premise and cloud ERP solutions with a novel decentralized approach facilitated by blockchain technology. Our work culminates in developing a prototype ERP system for a car manufacturing setting, incorporating a web application, a server API for order management, and custom smart contracts for handling orders and shipments. This prototype is built upon the Hyperledger Fabric framework, selected for its suitability for permissioned blockchain applications within industrial environments. We discuss the core advantages of integrating blockchain into ERP systems — including enhanced data immutability, transparency, and operational persistency while addressing potential challenges and drawbacks. An evaluation of the blockchain-based system’s scalability and performance metrics substantiates our hypothesis on the efficacy of blockchain in improving ERP implementations. The successful development and testing of a car factory ERP system prototype further demonstrate our approach’s practical benefits and feasibility.