Chapter One — 1.1 Background to the Study

Organizations that depend on inventory management systems are under increasing pressure to modernize, and Blockchain Technology has emerged as one of the more promising avenues for doing so, given its demonstrated impact in related domains.

Despite this potential, many existing inventory management systems were not originally designed with blockchain technology in mind, resulting in persistent gaps in decision support that limit their overall effectiveness. This study examines how Blockchain Technology can be applied to help close that gap.

1.2 Statement of the Problem

Current inventory management systems in many organizations struggle with inadequate decision support, often relying on manual processes or outdated architectures that were not designed for today's operating environment. Without a structured approach to integrating blockchain technology, these limitations are likely to persist, exposing organizations to inefficiency, risk, and a poor user experience. This study is motivated by the need to design and evaluate a blockchain technology-based approach to addressing this problem.

1.3 Objectives of the Study

1. To design and implement a blockchain technology-based approach to improving decision support in inventory management systems.
2. To evaluate the effectiveness of Blockchain Technology in enhancing decision support within inventory management systems.
3. To identify the key requirements and constraints relevant to deploying blockchain technology in this context.
4. To assess user and stakeholder perception of the resulting system.

1.4 Research Questions

1. How can blockchain technology be applied to improve decision support in inventory management systems?
2. How effective is Blockchain Technology at enhancing decision support within inventory management systems?
3. What requirements and constraints are relevant to deploying blockchain technology in this context?
4. How do users and stakeholders perceive the resulting system?

1.5 Significance of the Study

Beyond its immediate technical contribution, this study offers value to organizations evaluating whether to invest in blockchain technology for their own inventory management systems, and contributes to the broader literature on applied software technology / IT by documenting a concrete implementation and evaluation case.

1.6 Scope of the Study

The study is limited to the design, implementation, and evaluation of a blockchain technology-based approach to improving decision support within inventory management systems. Reflecting its MSc-level scope, it does not extend to a full commercial rollout or long-term post-implementation review beyond the study period.