Measuring the Impact of Blockchain and Smart Contract on Construction Supply Chain Visibility

It uses comparative empirical experiments (Charrette Test Method) to draw comparisons between the visibility of state-of-practice and blockchain-enabled payment systems in a commercial construction project. Comparisons were drawn across four levels of granularity. The findings are twofold: 1) blockchain improved information completeness and information accuracy respectively by an average 216% and 261% compared with the digital state-of-practice solution. The improvements were significantly more pronounced for inquiries that had higher product, trade, and temporal granularity; 2) blockchain-enabled solution was robust in the face of increased granularity, while the conventional solution experienced 50% and 66.7% decline respectively in completeness and accuracy of information. The paper concludes with a discussion of mechanisms contributing to visibility and technology adoption based on business objectives.