Monday, June 12, 2023
Monday, January 30, 2023
Walmart: Benefits of the Blockchain in the Supply Chain
I must admit to being something of a
skeptic on the blockchain. The first I really became aware of the technology
was a decade ago, when the first hype cycle for bitcoin was raging. For me,
writing in “A skeptical look at Bitcoin” (Mihelic 2013), I argued that bitcoin
itself did not fulfill any of the three basic definitions of money. Instead, it
acts like a commodity or an equity, but the difference is that there is not
cash flow except for the new people coming into the space, and that is
problematic if you want people making transactions and treating the technology
as a currency. Bitcoin and related protocols have not sold me, despite their
incredible appreciation in dollar value. I have learned more in that there are
also limits to how fast you can make transactions and the cost of these
transactions with the proof of work protocol. Some of these issues have been
worked on with different protocols that make the transaction less computation
heavy.
The ideal blockchain is one where you
have a need for two parties that function as equals in an exchange but there
might be limited trust, and this is a transaction where you want the details to
be immutable. The very nature of the ledger is that the history is there
embedded in the chain. This transparency is good in that there is no need for
middle-people and the market can clear and exchanges or contracts are executed,
and the people move on. This exchange is recorded, but there is a potential for
distance in not knowing who the actors are. There is a balance between
transparency and anonymity. Using a cryptocurrency based on the blockchain is
thus the primary possible use case, especially for something like remittances.
Unfortunately for the boosters, it feels as if cryptocurrencies are actually
exchanged for goods or services the anonymity is the prime benefit, using the
technology for ransomware or drugs and not for something like remittances. Ultimately
the blockchain feels like a cool and interesting technology chasing a use case.
In a lot of ways you could use an ordinary currency or an SQL-based Access
database for a lot of the things people trumpet as uses for the blockchain.
However, blockchains do have their
uses, even if only in niche cases. For example, the video “Blockchains: how can
they be used?” covers using blockchain technology to prevent odometer fraud (2018,
1:10). It is the perfect example because you have two or more parties at the
same basic level of power, and you want that transparency so that everyone can
track the mileage of a car – from the insurance companies and mechanics to a
future purchaser of the used car. It’s a niche case and as the second example
of a way that blockchain be used, it is not very overwhelming. The problem with
this is that it still needs centralization and coordination to work. To really
make blockchain work, you need people to want to coordinate their efforts or
you need some sort of centralized director. The niche cases of blockchain thus
will work best if siloed in one company or industry that has these existing
incentives.
One company that has the power and
incentives to work on these niche cases is Walmart. Aside from everything else
they do, and their giant footprint in the digital retail space, they have over
a quarter of the market share in the US grocery market (“CEOS,” 2022). This
means that they are basically responsible for coordinating the feeding of 80
million Americans every year. That
Walmart manages has managed to do so as they have grown is a marvel of
efficiency, but there are always more places to be more efficient. Using the
blockchain in their supply chain management will have multiple advantages, in
an initiative called by McKeen and Smith as a “Business Improvement,” where the
goal is to “reengineering initiatives to help organizations streamline their
processes and save substantial amounts of money by eliminating unnecessary or
duplicate activities” (2019 p. 23).
Currently many retailers use the UPC
codes, which identify which specific group that an item belongs to, but the UPC
just shows that item as part of a set. With blockchain technology, every single
individual item will be able to be tagged with a unique identifier. Either it
can be scanned at different points, or it can take advantage of technology like
RIFD chips which will allow the item to be tracked in real time and not rely on
scanners. This technology may be cost prohibitive at scale for less expensive
items, but it does have the benefit of not needing the human labor in the loop
every time an item needs to be scanned and inventoried. A company with the
scale of Walmart will have the ability to find the break-even point and
implement the technology, and additionally this connects to the internet of
things which as it scales will help drive company costs down.
Once the tagging and blockchain are
implemented, Walmart should be able to see several business improvement
benefits. Most of these will be clear to the bottom line, while others will be
less tangible. First, the entire supply chain will be visible to the blockchain
system in real time. The company will be able to see where things are moving
well and places where things are sitting around causing bottlenecks. This will
help them be able to be smarter in their purchasing and to be able to reduce
prices to move out stale inventory and hopefully reduce the cost of storage as
having real time tracking means that just in time purchasing is more feasible.
If there is one thing worse than having too much inventory, it is not having
the inventory your customers want to buy.
A blockchain based system is also more
secure. The ledger is permanent, so any potential malfeasance in terms of
faking the inventory count is lowered. The real time tracking also means that
you know where your items are until the moment that the leave your store. If
you are Walmart, you want that item to have left the store through the act of
purchasing, and not by leaving surreptitiously through the front or back door.
The blockchain supply chain will lower shrinkage from your customers and your
employees.
Finally, the blockchain based
inventory system will make your customers safer. The news often has frightening
information about some sort of vegetable that has some sort of contamination
that makes it unsafe for consumption. This is scary because often these recalls
are extremely broad, making you throw out your spinach that might be perfectly
fine, but that you dispose of it out of caution. A more robust inventory and
supply chain solution will allow Walmart to be able to identify that supplier
and to remove their products from the stores immediately. There would be a
greater benefit if Walmart could use their power to push tagging and
identification out to their suppliers so they could track any potential issues
to a single box of grapes, but that is an initiative that might be for down the
road as it exists on the edge of the company’s silo. The swift and targeted
removal of tainted produce will not just save money, but will help generate
goodwill from the customer base, as they learn that Walmart can be trusted to
have fresh and safe produce.
There may be other benefits from the
implementation of a blockchain for supply chain and inventory tracking at
Walmart, but of the potential business improvements that we looked at, all
should have a positive effect on the bottom line of the business, and help grow
the business as customers know that Walmart will continue to have what they
need, when they need it, and at competitive prices because of the efficiencies
that they gain from their investments in technology.
References
Bitter, A.
(2022, December 1). CEOS from Kroger and Albertsons say they're worried
about competition from Amazon, but the e-commerce giant barely makes up 1% of
US grocery sales. Business Insider. Retrieved January 29, 2023, from
https://www.businessinsider.com/walmart-kroger-still-top-grocer-challengers-amazon-gopuff-2022-2
McKeen, J.
D., & Smith, H. (2019). It strategy et innovation. Prospect Press.
Mihelic, J. E.
(2013, November 28). A skeptical look at Bitcoin. Econ Autodidactic.
Retrieved January 29, 2023, from
https://econautodidactic.blogspot.com/2013/11/a-skeptical-look-at-bitcoin.html
Simply
Explained. (2018, May 29). Blockchains: How can they be used? (use cases for
blockchains). YouTube. Retrieved January 29, 2023, from https://www.youtube.com/watch?v=aQWflNQuP_o
Sunday, September 25, 2022
Recent Reads in September
Schulz – The Street of Crocodiles
The thing about Schulz is that he is great at making atmosphere.
It reminds me of something from Kafka or Thomas Mann. I’m not sure if it is
just a thing from time and place or something else.
The problem is that the thing with plot or character goes
lacking where the whole thing seems to be the weather hanging over this mid-war
black sea community. So, in all the stories it felt like something was wanting.
Rodney – Decolonial Marxism
I recently made it through the text that made Rodney’s name,
“How Europe Underdeveloped Africa,” and the bulk of these essays feel like the seed
of that larger work. I sure have learned more about the African side of decolonialism
through reading Rodney, but some of these essays are hit or miss – reading the
text as a book started slow and didn’t pick up until the middle. This might be a
question of the editing choices though.
Burmila – Chaotic Neutral
Burmila’s book is hard to read. It’s well written but it’s
hard to read because as someone who doesn’t really identify with the Democrats,
but hopes that they win over the other guys, a lot of the book is just a list
of all the dumb things that the party has done over the years to marginalize themselves
and not fight back against Republican selfishness.
For better or worse, he also eschews simple, pat answers at
the end. It made me think of Selfa’s “ The Democrats: A Critical History” but snarkier.
And you can feel that Burmila is a bit invested in the success of leftish electoralism
and hasn’t fully given up.
Moore – Batman: The Killing Joke
I enjoyed this book – the art in the text is beautiful and well
printed and looks clean and crisp printed in the hardcover. It’s worth holding on
to. The story is interesting as well, with the Joker having some back-story and
the end of the book closing on a hilarious joke. A worthwhile read for the
evening.
Moore – Swamp Thing: Book Six
So, it feels that by the end of the arc, Moore started running
out of ideas about what to do with the character. Thus, you end up with these
books where Swamp Thing is making his way back home through space. The stories
are more science fiction, more experimental, and less grounded than some of the
other books in the series. I’m not 100% sure it works, but the entire arc ends
up tying together well.
Sunday, August 14, 2022
Recent Reads, August
Second Treatise of Government – John Locke
I’ve read a couple of things recently from enlightenment-era
political philosophers that start from some supposed state of nature but their idea of a state of nature is wrong
from what we know of anthropology. I’m not sure if this entirely invalidates Locke
here or Rousseau elsewhere.
A couple of things here that strike me. What Locke in this
work was doing was basically writing in support of the status quo. But I find
it weird that a hundred years later the framers in the colonies went and took
his defense of a constitutional monarchy and then adjusted it a bit for a
somewhat representative democracy.
There’s a lot of assumptions built in here that go unquestioned
from what a “just” war is to slavery to patrilineal inheritance that probably should
be unpacked a bit but are not.
Swamp Thing Book One – Moore
I was looking for a fun book to read to clear my mind and
this fit the bill pretty well. Moore is an interesting writer, and the stories
are compelling, even if the character constrains some of what can be done. It’s
organic and very green in the environmental sense. I’ve already ordered the
next couple of collections of the series.
The art, coloring, and page composition also work well with
the story. I think of the early 80s as a period of reinvention in the genre
with Moore and Miller and having read a few Miller texts recently and been underwhelmed,
the Swamp Thing book feels like an amazingly coherent text in a way that The
Dark Knight Returns wasn’t for me.
The Hurting Kind – Limon
Limon’s poems have these spare lines and the focus on nature
that make me feel like I’m standing at the shore of a lake as the sun sets in
the west behind me. They’re good poems and I can understand why they were
award-nominated but they just weren’t for me in the moment I was reading them.
Floaters – Espada
I don’t know exactly why I liked these poems, but this
collection is my jam. I like the structure, the longer, looping lines that are
almost prosaic but not. I like the subject matter, this immigrant, class conscious
text as the poems and their subjects navigates a world that is against them. I
will definitely seek out more work by Martin Espada
Black Aperture – Rasmussen
This collection of poems centers around the subject of the suicide
of the brother of the poetic first person – I am assuming it is the poet’s
personal voice but well done if in a persona. The poems work on their own level
individually but build up as if a composer were layering instrument over instrument
to make a coherent whole. The poems feel youthful, but not like juvenilia but
fresh like the spring after a frigid winter.
Hard to Be a God – Strugatsky Brothers
I found this book to be a real page turner. The conceit is
that the protagonist is a visitor historian in this medieval like setting who
can observe and participate but not really have any drastic life changing
effect on the people in the world he is visiting. I like it because it really melds
the idea of science fiction and fantasy in a way that is outside of the genre
constraints I am used to as a western reader. The situation the authors create
is interesting, the plot within that world is compelling, and the characters
are fairly well fleshed out. This is a trifecta that is often not met in
science fiction writing and I appreciate it.
Middlemarch – Eliot
Reading this felt like homework. I bought it a while back
because someone said that it was one of the funniest books in the language and
as someone with multiple degrees in English it felt wrong to not have read the
text.
So, I started reading it in early March to be able to make a
joke about the middle of march when I finish it, but it took me months and
months to read. It did pick up, but the first several hundred pages or so are
these character sketches where I was saying to myself “Oh, the title is after
the town because the town is the main character.” We do start to focus on some
people.
The thing is I do not care about these people or their problems
(except maybe the ambitious doctor who is working to revolutionize science but is
not readily accepted by the town with his new-fangled ways). Its all about who
is married or going to marry whom and where is this inheritance going. It is incredibly
well written and structured, but I just don’t care about these people.
A couple of other things. Sure, it is about the town but
there’s no servants or tradespeople except for in passing, an invisibility that
is noticeable by the absence. There’s one place where a couple is bankrupt, and
they are lamenting that they will be only able to keep one servant. The horror!
The other thing is that when it was written, it was a period piece written
about the time of the passing of the first reform bill which was by then
decades in the past. I’m guessing a lot of the humor is based on that but from
this vantage point you need the footnotes and footnotes aren’t funny.
Discourse on Inequality – Rousseau
I have the Penguin edition of this text, which wraps the
short two books of the discourse in a lengthy introduction and then copious
notes. Rousseau’s text isn’t actually exceptionally long, but in spite of its brevity
there are some interesting quotable parts, none more so than the first part of book
two where he claims that the first person to make a fence was the creator of civilization.
I’ve long liked that quote and it was the whole reason I read the text, wanting
to see that in context.
It was mostly worth it, mainly since the book is so short.
What really got me though was that the first book was mainly about the development
of language. It kind of makes sense to examine that since in a way you could
argue that the fact of language is one of the defining characteristics of
humans. However, it was hard to read since (like other enlightenment era philosophers
such as Locke’s “Second Treatise”) Rousseau posits a state of nature where
people are not social but are isolated individuals. So, his basis of
civilization and language development are wrong based on what we know now. I guess
that’s ok in a way since each generation builds off the last, but it is jarring
from my current position.
In concert with that issue of the state of nature is that
the introduction here talks about Rousseau’s writing process in that he went to
a cabin and walked in the woods to develop his ideas. It’s like Descartes
sitting on a pot and recreating the world through his own reason – a wanting of
empiricism in a world that was learning more about itself. What is really
striking though is that I wanted more sources and there are truly little in the
text but there’s a proof of some research that’s in the notes. It’s like this
text is just the seed of a larger project that was taken off into a different direction.
An Enquiry Concerning Human Understanding – Hume
I didn’t really connect to Hume here. Things just felt muddled,
and I don’t know if it is Hume’s thought, how it was presented here, or
something else. Dude was huge into
looking at causation but more than anything this book made me think of the
bigger picture. Going back to Hume made me wonder what philosophy would have
looked like in enlightenment Europe had the church not have had such a huge
influence. You had to work from a Christian cosmology as a starting point and that
was even the lens that the ancients were seen though. I can’t help but think that
it was a hinderance. Or not – Kantian deontology needs some sort of basis for its
ethics that are outside of the human realm so a posited perfect god might not
be horrible. Perhaps it just slowed the development of utilitarianism.
Road to Nowhere – Paris Marx
Here Marx outlines the history and present of transportation
and deconstructs how the current capitalistic visionaries are just basically
throwing software at a broken system. While I was reading it, I kept mentally going
back to that Henry Ford quote where if he asked the people what they wanted, he
would have just given them a faster horse. What Elon Musk is doing is basically
just doing that – giving the world a faster horse and not really creating the
future of transportation that we need, a future that looks to the past but
deals with current problems of mobility, climate, and livability.
Internet for the People – Tarnoff
I read this book in the weekend after the decision striking
down Roe passed and let me tell you that this not the mindset that an author hopes
that their readers have. Tarnoff shows how the development of the internet was
in public hands and how it was given away to private interests and how we might
take it back and why we should want that. I agree with all of that but reading
it I felt like it was part of a larger and necessary project that involves the democratization
of more of the economic sphere. It is important but when I was reading it, I
felt that this part wasn’t urgent. I think the book was good, but I would
advise you not to read it while you have utter despair for the state of the
nation hanging over you.
People’s Republic of Walmart – Phillips and Rozworski
I really like the Verso and Jacobin crossover texts. They’re
well designed and easy to read. Here the authors make the argument that basically
central planning is already happening, it is just happening at the firm level.
I like the argument and it is interesting, I just worry about the efficiency of
the planning, as we know that the firms here like Wal-Mart and Amazon have a
lot of waste embedded in them. If we wanted to scale that up to a higher level,
we would want to minimize that waste. I’m still somewhat skeptical of any
central planning based on Hayek’s knowledge argument from the uses of knowledge
in society that was his ultimate answer to the socialist calculation debate, but
this is an issue that has been explored since then and I think we’ve gotten
closer to potential full efficiency. This book is a good introduction to these issues,
and it is a worthwhile read. My only real complaint is that there no
bibliography at the end – I really wanted to go to their sources and that’s not
collected at the end.
The Foundation Trilogy – Asimov
I wrote my master’s thesis on this trilogy. I’ve read it cover
to cover over a dozen times, and parts of it more than that. I have come to a
conclusion about Asimov generally and this text specifically, and that is that
Asimov was not that great of a writer when it came to plot or characters but
awesome when it came to ideas. What do we know about his texts? Psychohistory
and the three laws of robotics! But the characters and the things they do? Not
much.
I didn’t go down this path to find out just what has been researched
about the writing of the books, but I feel like Asimov came across the idea of
Psychohistory (Basically history plus math and economics to tell (and control) the
future). And he’s writing the first stories and the who arc is that there’s a
crisis and then the characters go to the Time Vault and see Seldon, and the problem
is solved though his Deus ex machina. That gets boring so he needed something outside
of his own creation which is why he created the Mule and then had to bring in
the Second Foundation. It’s like the old lady who swallowed the fly thing – and
worse when you think of how he integrated everything in the late books he wrote
in the 80s. Everything works if you don’t think too hard about it, but I literally
spent years thinking about the thing and it falls apart on examination. Is it
worth reading? Yes, a thousand times yes. But is it good? Not really.
Blackshirts and Reds – Parenti
I bought this because I had not read anything by Michael
Parenti before and this was one of his shorter texts. The thing that struck me
most about it was that I had thought that it was more recent, not 30 years old
. The problem with that is that it still feels of the time and important –
fascism is always present and needs awareness and pushback. We just have to keep
fighting, in all eras.
Archaeologies of the Future – Jameson
This book is interesting in that it is structure as theory for
the first half (postmodern utopias, dystopias, and anti-utopias) and then a set
of essays in the second half where Jameson is applying the ideas he’s talking
about as he examines various science fiction texts. I read this because I was
working on the idea of utopia in science fiction but eventually didn’t use it
since my project went a different direction. It was worthwhile and I read
through it a couple of times since it was good background in helping me develop
a vocabulary for critically thinking about and writing about science fiction -- even if I didn’t understand half of what he
was writing about.
The Cambridge Companion to Science Fiction
I read this right as I was starting out on a project writing
about science fiction for a school project. It was a lot of surface level on both
the canon and the criticism, but it was a great jumping off point for my research
as I took this and extended my research on specific texts and critics. If you’re
looking for an introduction on science fiction criticism, this is a good
starting point.
Friday, June 24, 2022
The Politics of Love
I know that not everyone shares my personal politics, which are to the left of the general public. There may be places that they stand in contradiction to each other, and some things are hard to reconcile but I imagine most people’s personal politics aren’t 100% ideologically coherent – we all live contingent and reactive lives and often only deal with what’s in front of us at the moment.
That said, my own personal politics come from a deeply empathetic
place, one that knows some suffering and knows how big the world is and how
each and every one of us has our own interesting story and hopes and dreams and
fears and love.
Love – that’s where I come from. I love humans in all their
varied and messy ways since we are all imperfect creatures continually trying
to make sense of this big and confusing world. There are a few things that I
don’t love though, and that includes cruelty and selfishness. These go against
my fundamental empathy because it creates out-groups who it is ok to treat
differently. I understand the impulse as we live on the edge of scarcity or
deep within it. Though I understand the impulse, I cannot accept it. As the
poet said, we must love one another, or die.
Tuesday, June 21, 2022
The Unhidden Curriculum: Bellemare's "Doing Economics"
Tuesday, May 31, 2022
We Pluribus Unum : No Thin Blue Lines
We’re looking at this with our sewers as the fall apart. There are connections that have lead that need to be replaced for safety reasons and legal reasons. The question is how to pay for it. Does it make sense to just have the homeowner connected closest to the problem pay out of pocket? Not really – it’s a big one-time expense that needs done and the whole community benefits. The most equitable way to fix it is through taxation or fees. Our village board is increasing the water rates. People aren’t happy since the cost of living continues to increase but this is the way that all users can invest in the system. It’s a village problem with a collective solution.
In the candy-colored world of elementary schools civics, this is what government is for at its most base level. It coordinates collective action to solve collective problems. Here our democratically elected board came to the decision that made the most sense for the community. But this isn’t always the case. People are often not involved in their civic life – our board elections only receive something like 20% turnout and even the presidential elections see a third of people not participating in the election for whatever reasons they have.
This abstention is in part because people are alienated from the process. The government doesn’t feel like an extension of our collective will. Though you will hear about our representative democracy – “A republic if you can keep it” – the people who represent us, especially at the higher levels, feel like a breed apart. At the federal level, even our representatives in the house represent about 700,000 people in spite of Madison’s warnings in the Federalists papers. Writ large, the various representatives are not responsive to their constituents but more so to their donors. Reading about the mechanics of the job it sounds like half of a rep’s time is spent in dialing for dollars, fundraising for themselves and the party so they can get reelected. It sounds like a horrible job despite its prestige. I’m very conscious that in multiple roles I have that I serve the public. I’m a local elected official and I work for a nonprofit that has state contracts, so in diverse ways I am a steward of the public trust. I am not apart from the community but a part of the community.
Others have different approaches – typified by the thin blue line flag. This symbol leans into the othering of the government and its servants as something apart from the people. This flag says that you and I are different and through my role I am special. That’s not just so. The original flag is a symbol of unity. The thirteen colonies coming together to make one United States, a nation with problems in practice but with grand ideals at its foundation. The recent shootings and the failure of the police in Uvalde have had me reflecting on this symbolism. The children who were shot down were our children. Someone else gave birth to them but they were all ours and we failed to protect them as we failed the young man pulled the trigger as well. It’s a collective problem with collective solutions. No one stands apart.