How Blockchain Technology Is Overhauling The Way Business Is Done
Blockchain technology is more than just a growing trend. Its increasing popularity is gaining momentum and companies are jumping on the bandwagon. When most people hear the term blockchain technology, they automatically think of Bitcoin. Bitcoin may have been the beginning, but blockchain technology is about to impact every aspect of the business. Those who prepare will profit.
Those who dismiss the evidence of a blockchain takeover will be sorry they did. Blockchain technology is similar to a digital ledger where various participants make entries. Cryptography is used to verify and process each transaction on the ledger. That allows the coding and encryption to improve transparency. The internet is all about sharing information in one way or another.
Currently, the ability to verify information and transactions is limited. However, blockchain technology will change that, making it possible to check data as accurate from its source. Here are some ways it is changing the way people are doing business.
Auditing and Accounting
Accounting and auditing are two fields which stand to benefit from the use of blockchain technology. Since each entry is recorded and verified at the source, validating transactions requires minimum output and resources with this technology. It will allow people in this field to focus their efforts on controls and inconsistencies, rather than tracing sources. That will save valuable resources that you can better devote to things like cybersecurity and sustainability instead of chasing digital paper trails. Each transaction is easily isolated at its specific entry or link in the chain.
Fraudulent activities cost advertisers billions of dollars annually, and the number continues to rise. However, the principals of blockchain technology can be applied to the advertising world to prevent things like click fraud and reduce the risk of overcharging for underperformance. With a technology that not only records digital transactions but verifies them at the source and moment of purchase, advertisers can easily track their investments from initialization to final publication. Additionally, they can quickly ensure that they are reaching their target market bypassing autoboots that take advantage of incentive programs.
Payroll and HR
Blockchain technology can simplify and standardize payroll for large corporations, especially multinational companies with foreign employees. It will allow companies to handle payments in multiple currencies with ease and accuracy. Those who perform contract work will be able to get paid directly at the time of service, where ever they are and in whichever currency they desire. If that isn’t flexibility, then what is?
Remember all that talk above about verifying information at the source? Well, that can be applied to human resources as well. Hiring managers will be able to check the credentials and backgrounds of job candidates quickly. Those who do not have accurate information on their resumes better be ready to explain. On the flip side, it will give people a bit more control over the data that is available about them because the chances of being able to verify inaccurate data are nil.
Blockchain technology is creating operational efficiencies, transparency, and opportunities to do things differently. For instance, Kodak is reinventing itself with the birth of the Kodakone management platform. It is an encrypted digital ledger of rights ownership for professional photographers to immediately license and sell their work on a secure blockchain platform. Even social media platforms will see significant changes due to the transparency offered by blockchain technology. Entrepreneurs who blend strategy with creativity and take a risk will make insane profits off the emerging blockchain technology and its potential applications.