Application of Blockchain Technology for Secure, Transparent, and Efficient Supply Chain Management in Engineering Projects

Abstract

Engineering projects increasingly rely on complex, multi-stakeholder supply chains that span geographical, organizational, and contractual boundaries. Conventional supply chain management systems in engineering construction, manufacturing, and infrastructure development suffer from limited transparency, delayed information sharing, data manipulation risks, and inefficient coordination among participants. Blockchain technology, with its decentralized, immutable, and cryptographically secured ledger structure, offers a promising paradigm for addressing these systemic challenges. This paper explores the application of blockchain technology to enhance security, transparency, and operational efficiency in engineering project supply chains. The study develops a blockchain-enabled conceptual framework tailored for engineering projects and evaluates its effectiveness through transaction-flow analysis and system-level assessment. Smart contracts are examined as automation mechanisms for procurement, logistics coordination, quality verification, and payment execution. The findings indicate that blockchain integration significantly reduces information asymmetry, improves material traceability, enhances trust among stakeholders, and mitigates fraud and counterfeiting risks. The paper also discusses implementation challenges related to scalability, interoperability, regulatory compliance, and organizational readiness. It concludes that blockchain, when integrated with existing digital systems, can play a transformative role in modernizing supply chain governance in engineering projects.