Chain of Custody: Is Your Management System Ready?
“This eliminates the possibility for human error.” This is an actual quote taken from one of the many blockchain ‘credible’ websites readily available—citation withheld to protect the guilty. And, the Titanic was unsinkable!
From another credible sources, “Is blockchain secure for my business? Simply put, it can be. But, not by just turning the key. Security will depend on a variety of factors, none sic (not) the least of which requires a robust risk management framework?”[i]
In their white paper, KPMG argues that while the current blockchain frenzy is focused on the new technology, the question of its applicability to a business solution remains elusive. Falling in love with a ‘shiny new software object’ has been seen before. Most recently, digitalization and IoT.[ii]
The organization’s economic buyer requires more depth in the decision-making process. Has a valid Business Use Case been developed for its implementation?[iii] This can be a time-consuming activity as the various constituencies must be queried to assess their assessment of the Economic Value of this CAPEX.[iv] Unfortunately, there are no shortcuts to this risk mitigation process.
This blogger has focused on the need for Governance and appropriate Management Systems for many years. Historically it has been a challenge for business and government entities to keep up with the explosion of technology.[v]
While third parties are often the weakest link in supply chain management and this is one of the problems that Chain of Custody solutions address, technology alone is not a solution. As with any transformational initiative, the broader impact, unintended consequences as well as other tangible and intangible exposures must be understood and managed accordingly.
Just for the record, human error can never be eliminated. It is human folly to believe that a technology can free us from our human nature. High Reliability Organizations (HRO) recognize this frailty and respond accordingly.
The promised of today’s technology suites can be of high value. History teaches us that this value may not be realized if the problem being addressed, their implementation and sustained (maturity) processes are inadequately formulated.
How Will Your Organization Assure It Will Realize the Value from Blockchain Investments?
[ii] Shemwell, Scott M. (2018, October). How to make the case to the C-Suite: Selling Large Scale Data Management Projects to the C Suite. Foundations: The Journal of the Professional Petroleum Data Management Association. Volume 5 Issue 2. pp. 6-8.
Agility, Resiliency, Sustainability
Critical Mass: Value from the RBC Framework
Nuclear physicists define the term, “critical mass” as the amount of fissile material whereby a nuclear reaction is self-sustaining. From that original definition, the construct is further developed along societal and political terms as a function of the environment and number of adopters and their interdependencies that create enough of a consensus for individual actions that sustains an undertaking.
In 1996, the author published the first of several case studies on a societal interaction model based on the Relationships, Behavior and Conditions (RBC) construct among economic actors. Previously the model was only in the domain of academia.
This blog addresses contemporary issues from the RBC perspective and whether in the present state they are sustainable or not. Many readers may be familiar with the “Innovation Adoption Curve.” RBC seeks to enlighten the causality of behaviors that cause movement towards the critical mass that generates movement along this diffusion curve.
- Agility, Resiliency, Sustainability May 14, 2020
- Disrupting Disruption! May 11, 2020
- Tumultuous Decade: What’s Next for Oil & Gas? April 20, 2020
- A Funny Thing Happened on the Way to . . . Innovation! April 4, 2020
- Is Big Data Analysis Being Applied? March 24, 2020
Other Blogs by Dr. Shemwell
Dr. Shemwell is an author/contributor for the following 3rd party blogs.
So, You Want to be an Entrepreneur
Dr. Shemwell is a member of the Global Energy Mentors (GEM) Leadership Team. Every month he or one of his colleagues is posting timely tips to help entrepreneurs navigate the energy start up sector. Check out the Landing Page.
Governing Energy Blog
BTOES Insights is the content portal for Business Transformation & Operational Excellence opinions, reports & news. Dr. Shemwell is a contributor.
Consult 2050 connects organizations with a wide range of consultants all around the world. The firm operates an online marketplace for consultancy services.
Essays on Business and Information
This two volume set covers a series of newsletters and opinion pieces published circa 2002-2009, including Bug Lore–Lessons for the Online Economy that addressed real time systems vulnerabilities from Y2K (1998-99).
About the Author
Dr. Scott M. Shemwell has over 30 years technical and executive management experience primarily in the energy sector. He is the author of six books and has written extensively about the field of operations. Shemwell is the Managing Director of The Rapid Response Institute, a firm that focuses on providing its customers with solutions enabling Operational Excellence and regulatory compliance management. He has studied cultural interactions for more than 30 years—his dissertation; Cross Cultural Negotiations Between Japanese and American Businessmen: A Systems Analysis (Exploratory Study) is an early peer reviewed manuscript addressing the systemic structure of societal relationships.