Engineering management

Automation

Business

Key (lock)

Inefficiency

Knowledge management

Operating system

Epistemology

Engineering

Philosophy

Economics

Microeconomics

Standardization

Process management

Programming language

Data science

Digitization

Blockchain

Computer science

Management science

Strengths and weaknesses

Computer security

Garbage

Telecommunications

Mechanical engineering

Manufacturing & Service Operations Management

Problem definition: Blockchain is a form of distributed ledger technology. While it has grown in prominence, its full potential and possible downsides are not fully understood yet, especially with respect to operations management (OM). Academic/practical relevance: This article fills this gap. Methodology: After briefly reviewing the technical foundations, we explore multiple business and policy aspects. Results: We identify five key strengths, the corresponding five main weaknesses, and three research themes of applying blockchain technology to OM. The key strengths are (1) visibility, (2) aggregation, (3) validation, (4) automation, and (5) resiliency. The corresponding weaknesses are (1) lack of privacy, (2) lack of standardization, (3) garbage in, garbage out, (4) black box effect, and (5) inefficiency. The three research themes are (1) information, (2) automation, and (3) tokenization. Managerial implications: We illustrate these research themes with multiple promising research problems, ranging from classical inventory management, to new areas of ethical OM, and to questions of industrial organization.

OM Forum—Distributed Ledgers and Operations: What Operations Management Researchers Should Know About Blockchain Technology