19 Making Sense of Blockchain: How Firms Can Chart a Strategic Path Forward ^Top as revenue increase through improved customer relationships and reduced capital expenditure and operational expenses over time. The firm can avoid disruptions to existing operations through open and candid conversations with technology providers on shared responsibilities. Conducting thorough analyses of the resources required will prevent cost overruns.22 As mentioned earlier, it will be difficult to gauge the exact impact of block- chain implementation. However, firms can make a reasonably accurate estimate using a combination of quantitative and qualitative measures. The sample chart below provides an example of how to prioritize use cases after a scenario analysis.23 The circles represent relevant use cases, the circle sizes represent quantitative gains, and the axes represent qualitative factors. The expected impact on customer and sup- plier relationships determines each sce- nario’s importance, and the likelihood and speed of adoption by customers and competitors determines its proba- bility. For instance, smart contracts can eliminate the need for humans to verify financial documents; service firms should therefore treat their adoption as highly probable and highly important. 22 Interviews with technology firms supporting blockchain implementation, April 2018. 23 Schoemaker and Mavaddat, “Scenario Planning,” in Day, Schoemaker, and Gunther, Wharton on Emerging Technologies, chap. 10. Prioritizing Use Cases Probability Importance
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