One of the most exciting challenges in the years to come is the integration of BlockChain technology and Physical Asset Management.
BlockChain could be defined as a distributed database of records that have been executed and shared among participants. Every executed action is verified by consensus of most of the participants of the system and, once it is recorded, never can be deleted or modified because it is distributed in thousands of computers.
So, BlockChain provides a right, verifiable and immutable record of every operation that has been fulfilled. This is especially interesting in physical Asset Management because it provides a smart property of assets.
A real application combines smart contracts, for example, acquisition and sale contracts, insurances, warranties, or maintenance contracts; check of origin in parts and components acquisitions, and decentralized internet of things to do easy the asset operations, all of them with their required records and proof of evidence; they are applicable to the four phases of a life cycle of an asset: Acquisition, Operations, Maintenance, and Decommissioning.
Benefits to apply BlockChain to asset management.
BlockChain technology provides several practical benefits to ensure the asset management plan execution and the fulfilling of the ISO 55001 standard, the main ones are:
1. Keeping a decentralized verified and immutable asset historic log, that provides value as the asset is older and, above all, during the decommissioning phase or sale as a used-asset, providing important financial benefits.
2. Right identification of assets, including it and its components and parts traceability, it makes easy to make decisions related to the life cycle cost optimization.
3. Automatization of maintenance and operation tasks based on asset condition, reducing the number of operations, controlling risks and increasing availability and productivity.
4. Ensuring completion of contracts, mainly related to design, acquisition, insurances, warranties, maintenance contracts, recycling or sale as a used-asset, that could be carried out based on info recorded in BlockChain, it ensures contracts are executed and payment are automatized.
5 Security of information, that is no possible to misplace, modify or destroy, as well as it ensures transparency among authorized participants.
AlterEvo Ltd. works in the development of blockchain and asset management integration projects, focused on financial benefits and ensuring fulfilled of ISO 55001 standard.