The innovation dilemma of distributed ledger technology
To help the automotive industry clarify the future DLT opportunity, the paper, written by a Accenture project team introduces Accenture’s DLT Automotive Framework. It’s a comprehensive overview of 24 of the most important DLT use cases for automotive, categorized by their applicability to enterprise operations, new products and services, and customer engagement. Complemented with multiple in-depth expert interviews, Accenture consulted a panel of 53 DLT experts to understand the present maturity level and potential business impact of each of these use cases, among them are our CEO & CTO.
Interest in distributed ledger technology (DLT) has never been higher. Most people know it from its Blockchain cryptocurrency manifestation, but DLT is much broader—and so are the opportunities for industrial companies. In particular, DLT’s transparency and security creates a wealth of new possibilities for automakers and their suppliers.
"DLT is not a game for single-players, it's a team sport. To unfold its true potential it requires players to stop aggregating and to start collaborating. DLT's true value potential is set free only if multiple parties - each with their individual offerings and use cases - join a greater network of trust, held together by shared DLT standards and open protocols."
The catch? The disruptive nature of DLT creates an innovation dilemma for many automakers. The technology is not well suited to incremental innovation or inward-looking initiatives. Its value comes from an open, outward-looking strategy that emphasizes broad ecosystem collaboration. But automakers’ existing systems, processes and organizations typically create a legacy frontier that hinders this kind of approach. And without a clear sense of the potential returns, many have been reluctant to commit to the radical transformation required.
"Blockchain, DID (Decentralized Identifiers) and DLT provide solutions which are fundamentally different from existing IT and processes. The lesson learned is to mix these disruptive technologies with legacy systems and especially with legacy business processes. OEMs are best served when they use the technologies outside and separate from their legacy solutions."
