A Comprehensive Review of Blockchain Technology-En

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Review
A Comprehensive Review of Blockchain Technology-Enabled
Smart Manufacturing: A Framework, Challenges and Future
Research Directions
Xin Guo, Geng Zhang and Yingfeng Zhang *

School of Mechanical Engineering, Northwestern Polytechnical University, Xi’an 710072, China


* Correspondence: zhangyf@nwpu.edu.cn

Abstract: As a new generation of information technology, blockchain plays an important role in busi-
ness and industrial innovation. The employment of blockchain technologies in industry has increased
transparency, security and traceability, improved efficiency, and reduced costs of production activities.
Many studies on blockchain technology-enabled system construction and performance optimization
in Industry 4.0 have been carried out. However, blockchain technology and smart manufacturing
have been individually researched in academia and industry, according to the literature. This survey
aims to summarize the existing research to provide theoretical foundations for applying blockchain
technology to smart manufacturing, thus creating a more reliable and authentic smart manufacturing
system. In this regard, the literature related to four types of critical issues in smart manufacturing is
introduced: data security, data sharing, trust mechanisms and system coordination issues. The corre-
sponding blockchain solutions were reviewed and analyzed. Based on the insights obtained from
the above analysis, a reference framework for blockchain technology-enabled smart manufacturing
systems is put forward. The challenges and future research directions are also discussed to provide
potential guides for achieving better utilization of this technology in smart manufacturing.

Keywords: blockchain; data sharing; data security; trust mechanism; smart manufacturing

Citation: Guo, X.; Zhang, G.; Zhang,


1. Introduction
Y. A Comprehensive Review of
Blockchain Technology-Enabled With the deep integration of information technologies (e.g., artificial intelligence, cloud
Smart Manufacturing: A Framework, computing, big data) and the manufacturing industry, smart manufacturing has been rec-
Challenges and Future Research ognized as one of the main driving forces of Industry 4.0 [1]. Smart manufacturing aims to
Directions. Sensors 2023, 23, 155. improve product and service quality, increase efficiency and promote innovative, green
https://doi.org/10.3390/s23010155 and coordinated manufacturing, which has increasingly become a major trend of the manu-
Academic Editor: Jorn Mehnen
facturing industry and an essential motivation for enhancing manufacturing enterprises’
core competitiveness [2]. Although there is a growing concern about the importance of
Received: 21 November 2022 smart manufacturing, there are still a number of problems and challenges in achieving
Revised: 15 December 2022 smart manufacturing, such as data security risks, information asymmetry, trust mechanism
Accepted: 15 December 2022 deficiency, the lack of system coordination, etc. [3,4]. These issues seriously restrict the de-
Published: 23 December 2022
velopment of smart manufacturing and urgently need to be solved by innovative methods
and technologies.
Since Satoshi Nakamoto first put forward the concept of blockchain as a platform
Copyright: © 2022 by the authors.
for bitcoin transactions [5], it has attracted wide attention from academia and industry.
Licensee MDPI, Basel, Switzerland. Blockchain can be regarded as a distributed database of records or shared public/private
This article is an open access article ledgers that have been executed and shared among different participating parties [6]. Four
distributed under the terms and critical technical properties are included in the blockchain, namely decentralized structure,
conditions of the Creative Commons cryptography system, consensus mechanism and smart contract [7,8]. With these prop-
Attribution (CC BY) license (https:// erties, blockchain technology can guarantee the reliability, traceability and authenticity
creativecommons.org/licenses/by/ of information. Moreover, smart contractual relationships help create a trusted environ-
4.0/). ment for smart manufacturing [9–11]. Due to its promising characteristics, blockchain is

Sensors 2023, 23, 155. https://doi.org/10.3390/s23010155 https://www.mdpi.com/journal/sensors


Sensors 2023, 23, 155 2 of 16

supposed to be the key enabling technology for reorganizing huge amounts of data and
intelligent agents scattered in the manufacturing system. In general, with the adoption
of blockchain technology, a more socialized smart manufacturing system is constructed
by connecting intelligent agents and making them credible, reliable and cooperatively
working together [12].
As discussed above, by integrating encryption algorithms, consensus mechanisms,
smart contracts and other technologies, blockchain serves as a potential facilitator of data
authenticity, privacy protection, information traceability and performance optimization [13].
The specific properties of blockchains show promising application prospects in smart manu-
facturing. The current status of blockchain applications in manufacturing systems and how
blockchain systems can overcome potential cybersecurity barriers to achieving intelligence
in Industry 4.0 was discussed by Leng [3]. A systematic literature review and explained the
potential contributions of blockchain technology to the economic, environmental and social
performances of manufacturers and their supply chains was conducted by Khanfar [14]. A
systematic review of blockchain applications to intelligent transportation systems in general
and the Internet of Vehicles (IoV) in particular was provided by Jabbar [15]. However, the
current research did not fully reveal the advantages of applying blockchain technology
to smart manufacturing. Therefore, this survey explores the potential implementation of
blockchain technology in smart manufacturing systems to enhance its authenticity, reliabil-
ity and overall performance. To achieve this, current critical issues in smart manufacturing
systems and the corresponding blockchain solutions are discussed to help develop a deep
understanding of applying blockchain technology in smart manufacturing. This study
also reveals how these critical issues have been studied in the literature. Based on this, we
put forward a reference framework for blockchain technology-enabled smart manufactur-
ing systems. Finally, the current challenges and future research directions for applying
blockchain technology in smart manufacturing are analyzed.
The rest of the paper is organized as follows. Section 2 introduces the research method.
After reviewing current critical issues in smart manufacturing systems in Section 3, Section 4
discusses the key technologies of blockchain and its advantages in smart manufacturing
systems. A review of how these critical issues have been studied in the literature is further
explored in Section 5. The proposed reference framework for blockchain technology in
smart manufacturing is illustrated in Section 6. Challenges and future research directions
are discussed in Section 7. A conclusion on how to use blockchain technology to support
smart manufacturing is drawn in Section 8. See the end of the document for further details
on the references.

2. Literature Search
A literature search was conducted in the Web of Science database, where a broad range
of literature on blockchain technology-enabled smart manufacturing can be identified.
Articles retrieved were further searched using a three-step approach.
The first step was to obtain quality publications through certain selection criteria.
Working papers and commentaries were excluded to derive quality publications. Mean-
while, the keywords “blockchain” and “smart manufacturing” were identified for searching
publications. A total of 138 publications were obtained and used for further analysis (up to
21 September 2021).
The second step was theoretical screening. Articles about blockchain technology
and its application in the manufacturing industry were included to help develop a deep
understanding of blockchain technology-enabled smart manufacturing. To be specified,
the selection criteria are shown as follows.
Blockchain applications manufacturing in industry were selected, including apply-
ing blockchain to supply chain management, manufacturing management and Internet
of Things (IoT). These studies focused on the industry, product or service, and gover-
nance cases of blockchain implementations. Also, reviews on blockchain and its relevant
technologies were investigated to provide a comprehensive overview of research trends,
Sensors 2023, 23, 155 3 of 16

technologies and issues. These articles will help identify the challenges of implementing
blockchain technology in smart manufacturing.
The exclusion criteria were (1) research not related to the blockchain domain or
manufacturing management; (2) papers that were not peer-reviewed or less than four
pages; and (3) papers not written in English.
In the last step, Reference Analysis, 87 articles that met the selection criteria were
selected, and the cited references were further utilized as a source for literary analysis,
resulting in the identification of 7 additional articles. Additionally, 8 supplementary
references were added to the reference section to make the survey concrete. Therefore, this
survey consisted of 102 articles in total. The following two sections aim to discuss and
analyze blockchain applications in the smart manufacturing industry. Four critical issues
have been identified in the area of smart manufacturing. How blockchain technology can
overcome these critical issues to support smart manufacturing was also investigated.

3. Critical Issues in Smart Manufacturing


With the rapid development of advanced information technologies, such as the IoT,
cyber physical systems, artificial intelligence and cloud/edge computing, the manufactur-
ing industry has entered a new stage called smart manufacturing [16,17]. The efficiency of
manufacturing has been greatly improved and the manufacturing processes have been con-
stantly optimized. However, at present, smart manufacturing still faces problems in many
aspects, such as data security risks, information asymmetry, trust mechanism deficiency
and the lack of system coordination. Novel information technologies urgently need to be
adopted to solve these problems. The following section discusses the existing critical issues
faced by smart manufacturing.

3.1. Data Security Issues


Various advanced information technologies are applied in smart manufacturing to
connect manufacturing processes with Internet information systems, resulting in severe
challenges to data and information security [18]. At present, key data from enterprises
exposed to the IoT are facing the danger of leakage and illegal usage. Enterprises’ produc-
tion management systems, office networks and other key information infrastructures are
undergoing serious threats of network attacks, virus invasion and so on [19,20]. Although
many companies have realized the risks of data transformation, most of them excessively
depend on traditional protection mechanisms [21], such as Role-Based Access Control
(RBAC), Veeam Endpoint Backup and Storage Disaster Recovery Service. Due to the lack
of effective information security methods, the unpredictable and inevitable network attack
eventually brings serious economic losses to smart manufacturing enterprises.

3.2. Data Sharing Issues


Effective data sharing can improve productivity, reduce cost and promote the overall
development of smart manufacturing enterprises [22]. It should be noted that there are
still many problems with manufacturing data sharing. First, the enterprises’ industrial
sectors lack the motivation to public relevant data and information due to their concern for
self-interests. Second, manufacturing data sharing is often implemented by the isolated
information systems of different enterprises. The heterogeneous databases and diverse
standards applied by different systems increase the difficulty of data integration across
systems [23]. Finally, the potential value of manufacturing data could hardly be extracted
and effectively utilized by smart manufacturing enterprises due to the lack of an advanced
information management approach.

3.3. Trust Mechanism Issues


The rapid development of the smart manufacturing industry inevitably brings about
serious trust issues. First, the information asymmetry leads to distrust between various
smart manufacturing enterprises and restricts the effective collaboration of the production
Sensors 2023, 23, 155 4 of 16

chain. Second, due to the potential risk of manufacturing data leakage, tampering and
disclosure, it is relatively difficult to trace the abnormal products and corresponding in-
formation during the manufacturing process. The development of trusting relationships
among related enterprises is obstructed because of incomplete information traceability
mechanisms [24]. Finally, the authenticity of manufacturing data cannot be strictly guaran-
teed, resulting in the potential risk of product adulteration during the process of produc-
tion and sales, which eventually causes serious damage to the credibility and reputation
of enterprises [1].

3.4. System Coordination Issues


At present, the lack of standardization and innovation of enterprises and the imper-
fection of supporting systems greatly obstruct the overall development of smart manufac-
turing [25]. On the one hand, many restrictive factors seriously impede the cooperative
process of the smart manufacturing industry, such as the lack of independent intellectual
property rights, the weakness of research and development capability, and the uncertainty
of manufacturing and its management [26,27]. On the other hand, from the perspective
of enterprises, many of them are still at the stage of the traditional manufacturing mode
and are not willing to actively participate in the revolution toward smart manufacturing
and tend to make independent decisions based on their own principles and arrangements.
The individuation of enterprises objectively obstructs the collaborative development of the
smart manufacturing industry [28].

4. Blockchain and Its Advantages in the Manufacturing System


As a newly emerged revolutionary information technology with the rapid develop-
ment of digital cryptocurrencies, such as Bitcoin, blockchain is essentially a decentralized
distributed database that allows peer-to-peer transactions without a third party. With
its encryption algorithm, consensus algorithm, smart contract and other technologies,
blockchain can be adopted to promote security protection, information traceability, data
authenticity and system collaboration [29]. It has gradually penetrated various industries
and formed exploratory applications in many fields. This section discusses the important
Sensors 2022, 22, x FOR PEER REVIEW 5 of 17
role of blockchain technology in smart manufacturing.

4.1. Key Technologies of Blockchain


(1) Distributed
(1) Distributed ledger:
ledger: Distributed
Distributedledger
ledgertechnology
technology (DLT)
(DLT) is is
essentially decentral‐
essentially decentral-
ized data storage technology that realizes data sharing and synchronization
ized data storage technology that realizes data sharing and synchronization based based on a on
network composed of multiple nodes [30‐32]. The traditional storage
a network composed of multiple nodes [30–32]. The traditional storage system imple- system implements
a data amanagement
ments data managementmechanism controlled
mechanism by a central
controlled by node or authority,
a central node or while the DLT
authority, while
adopts a multi‐party decision‐making and joint maintenance method
the DLT adopts a multi-party decision-making and joint maintenance method based based on a consen‐
on a
sus mechanism,
consensus as shown
mechanism, as in Figure
shown in1.Figure
The decentralized data maintenance
1. The decentralized strategy ofstrat-
data maintenance a
distributed
egy ledger can
of a distributed effectively
ledger reduce system
can effectively reducemaintenance costs and costs
system maintenance improve
andsystem
improve
efficiency
system [33,34]. [33,34].
efficiency

Figure 1. Comparison of traditional storage and distributed storage.


Figure 1. Comparison of traditional storage and distributed storage.

(2) Asymmetric encryption: Asymmetric encryption technology, also known as Pub‐


lic Key Infrastructure (PKI), usually uses two asymmetric passwords in the process of en‐
cryption and decryption, which are called public keys and private keys [35,36]. Asymmet‐
ric key pairs have two distinguished characteristics. First, after encrypting information
with one key (public key or private key), only the other corresponding key can be used
Sensors 2023, 23, 155 5 of 16

Figure 1. Comparison of traditional storage and distributed storage.

(2) Asymmetric encryption: Asymmetric encryption technology, also known as Public


(2) Asymmetric encryption: Asymmetric encryption technology, also known as Pub‐
Key Infrastructure (PKI), usually uses two asymmetric passwords in the process of encryp-
lic Key Infrastructure (PKI), usually uses two asymmetric passwords in the process of en‐
tion and decryption, which are called public keys and private keys [35,36]. Asymmetric
cryption and decryption, which are called public keys and private keys [35,36]. Asymmet‐
key pairs havehave
ric key pairs twotwo
distinguished characteristics.
distinguished First,
characteristics. after
First, encrypting
after encrypting information
informationwith
one
with one key (public key or private key), only the other corresponding key can be used for
key (public key or private key), only the other corresponding key can be used
decryption. Second,
for decryption. thethe
Second, public keykey
public cancanbe be
disclosed to to
disclosed others, while
others, whilethe private
the privatekey
keyisiscon-
fidential. TheThe
confidential. encryption
encryptionprocess is illustrated
process in Figure
is illustrated in Figure2. At present,
2. At common
present, common asymmetric
asym‐
encryption algorithms are hash function, RSA, Elgamal, D-H and elliptic
metric encryption algorithms are hash function, RSA, Elgamal, D‐H and elliptic curve curve encryption
en‐
algorithm (ECC) [37].
cryption algorithm Blockchain
(ECC) technology
[37]. Blockchain mainly utilizes
technology mainly ECC, which
utilizes has which
ECC, high security
has
performance
high security and low complexity.
performance and low complexity.

Figure 2. Asymmetric
Figure Asymmetric key
keyencryption
encryptionprocess.
process.

(3) Consensus mechanism: A consensus mechanism is a series of common rules for


each decentralized node to be consistent. It enables each node to verify and confirm the
data in the network so as to maintain the fairness of the whole system and enhance trust
among different participants [38]. As listed in Table 1, common consensus mechanisms
include Proof of Work (PoW), Proof of Stake (PoS), Delegated Proof of Stake (DPoS) and
Practical Byzantine Fault Tolerance (PBFT) [39–41]. Taking bitcoin as an example, with the
adoption of PoW, it is possible to forge a non-existent record only when more than 51%
of the accounting nodes in the whole network reach agreement, which is basically impos-
sible when a large number of nodes join the blockchain, thus eliminating the possibility
of counterfeiting.

Table 1. Comparison of common consensus mechanisms.

PoW PoS DPoS PBFT


Bitcoin, Ethereum, BitShares, Steemit, EOS, Hyperledger Fabric,
Application Ethereum, Peercoin, Nxt
LiteCoin, Dogecoin Lisk, Ark Stellar, Ripple, Dispatch
Collaborative
Classification Competitive consensus Competitive consensus Collaborative consensus
consensus
Easy to implement, Low computing resource
High throughput,
Advantages high security and consumption, high High-speed and scalable
fast operation speed
difficult to attack efficiency
Huge energy Slightly centralized, Only used for private
Complex protocol, high
Disadvantages consumption; low easy to cause and consortium
network requirements
operating efficiency collusion attacks blockchain

(4) Smart contract: Smart contract is a computer protocol designed to propagate, vali-
date, or execute contracts in a virtualized manner [42,43]. In essence, it is an executable
code written into the blockchain network. Once an event triggers the terms in the contract,
the code is executed automatically [44,45]. The operation mechanism of the smart contract
is shown in Figure 3. The application of smart contracts in blockchain networks facili-
tates trusted transactions without a third party, reduces transaction costs and improves
transaction efficiency [46].
(4) Smart contract: Smart contract is a computer protocol designed to propagate, val‐
idate, or execute contracts in a virtualized manner [42,43]. In essence, it is an executable
code written into the blockchain network. Once an event triggers the terms in the contract,
the code is executed automatically [44,45]. The operation mechanism of the smart contract
is shown in Figure 3. The application of smart contracts in blockchain networks facilitates
Sensors 2023, 23, 155 6 of 16
trusted transactions without a third party, reduces transaction costs and improves trans‐
action efficiency [46].

Figure3.3. The
Figure Theoperation
operationmechanism
mechanismmodel
modelof
ofaasmart
smartcontract.
contract.

4.2. Blockchain Solutions to Critical Issues in Smart Manufacturing


(1) Data security: Blockchain ensures data security in a smart manufacturing system
based on its chain storage structure with a timestamp [47–49]. Each block of blockchain
contains a timestamp and a link to the previous block. Once a piece of data is recorded in a
block, it cannot be tampered with. The encryption algorithm guarantees data security [50].
In addition, the traceability of blockchain also facilitates the optimization of manufacturing
systems [51,52]. In a real scenario, blockchain technology-enabled Industrial Internet of
Things (IIoT) can effectively prevent information leakage and malicious manipulation risks
brought by malicious attacks on any single node device.
(2) Data sharing: With the adoption of DLT, blockchain simultaneously allows informa-
tion recording and sharing by all participants [53]. This helps realize real-time data sharing
between upstream and downstream enterprises. At the same time, due to its privacy
protection mechanism, confidential information is encrypted to solve the contradictions
between data privacy and data sharing [54]. Therefore, blockchain technology can eliminate
information isolation and realize effective data sharing between different parties. In a real
scenario, a logistics data-sharing platform based on blockchain technology can speed up
document transfer and account reconciliation, thus improving overall logistics efficiency.
(3) Trust mechanism: Blockchain technology, known as a “trust machine,” can pro-
vide trust services for all parties in smart manufacturing [55]. The key data during the
process of design, production and sale are collectively maintained based on trusted
mechanisms [56,57]. Manufacturers, suppliers, distributors and other smart manufactur-
ing entities share transparent and credible information. Trust relationships are, therefore,
established among different parties [58,59]. In real scenarios, supplier background investi-
gation and product quality inspection can be eliminated with the application of blockchain
technology, further reducing the cost of smart manufacturing.
(4) System coordination: Paperless automatic transactions and trustworthy electronic
storage based on blockchain greatly improve the transaction efficiency of enterprises [60–62].
Moreover, the smart contract of blockchain technology promotes collaboration between
upstream and downstream enterprises in the smart manufacturing industry chain. As a
result, it becomes an effective driving force for the coordinated development of the whole
smart manufacturing system [63–66]. In a real scenario, a smart procurement platform
based on blockchain can promote procurement coordination and improve the transparency
of trade relations within the industry.

5. Application of Blockchain Technology in Smart Manufacturing


As discussed in Section 3, four types of critical issues of manufacturing systems are
overviewed, including data security issue (C1), data sharing issue (C2), trust mechanism
issue (C3) and system coordination issue (C4). Table 2 offers an overview of the research
Sensors 2023, 23, 155 7 of 16

on the application of blockchain technologies in smart manufacturing with regard to their


addressed issues.

Table 2. Research on the application of blockchain technologies in smart manufacturing.

Function Literature Addressed Issues Details


The proposed multi-center partially decentralized IIoT architecture
[67] C1, C2
uses blockchain to enhance security and privacy
The study applies the integrated methods of blockchain and machine
[68] C1 learning to solve data security and management issues in
smart manufacturing
The utilized blockchain technology to improve the privacy and security
Data sharing and [69] C1, C2
of data transmission and communications in IoT
data security
The proposed generalized architecture applies blockchain technology
[70] C1
in smart agriculture to provide security goals
The proposed intelligent manufacturing security model supported by
[71] C1, C2, C3 the blockchain can effectively enhance security, privacy and
non-tamperability
The proposed use case of a blockchain framework is aim to avoid fraud
[72] C1, C2
scenarios and secure logistics trade
The blockchain-based trust mechanism for quality assurance promotes
[56] C1, C2, C3
the transparency, security and efficiency of transactions
The study applies blockchain technology to enhance the security of
[73] C1
data in smart factories
The proposed platform uses blockchain to provide a peer-to-peer
[74] C1, C2, C3
Traceability and communication network between the end user and the service provider
trust mechanism The proposed system in a pharmaceutical environment takes
[75] C1, C2, C3 advantage of blockchain properties and smart contracts to ensure data
authenticity, transparency and immutability
The study utilizes blockchain technology to solve the trust problem
[76] C3, C4 and resource scheduling efficiency problem in a cloud
manufacturing system
The study applies a blockchain platform to maintain a decentralized
[77] C1, C3
medical supply chain and promote the traceability of the overall system
The proposed system utilizes blockchain technology to promote both
[78] C1, C2
device-level data transmission and manufacturing service transaction
The proposed blockchain reference system architecture promotes
[79] C1, C2
applicability and consistency across enterprise infrastructure
The study applies blockchain technologies and smart contracts to
[80] C2, C3 address trust issues while ensuring the effectiveness and efficiency of
business services
The proposed private-blockchain-based IIoT is aimed to bridge the
[24] C1, C2 need for product and material tracking information exchange while
System ensuring confidentiality
construction and The proposed blockchain-based platform for Industrial Internet of
performance [81] C1, C2 Things (BPIIoT) applies blockchain network to process all transactions,
optimization including digital signature and programmable permission
The proposed smart manufacturing conceptual scenario applies
[82] C1, C2 blockchain technology to strengthen data integrity and decrease data
transmission risk
The proposed Blockchain-based Shared Manufacturing (BSM)
[83] C3, C4
framework is applied to support Cyber Physical Systems (CPS)
The proposed ManuChain takes advantage of blockchain-driven smart
[61] C2, C4 contracts to proactively decentralize task execution and make the
results available for optimization
The proposed smart manufacturing conceptual scenario applies
[84] C1, C2 blockchain technology to strengthen data integrity and decrease data
transmission risk
Sensors 2023, 23, 155 8 of 16

5.1. Research on Data Sharing and Data Security in Smart Manufacturing


From the perspective of data sharing and data security, many scholars have explored
blockchain to promote data sharing and data security with regards to its features of im-
mutability, transparency, automation and integrity. A multi-center, partially decentralized
IIoT architecture to enhance security and privacy based on blockchain technology was
introduced by Wan [67]. The integrated methods of blockchain and machine learning
to solve data security and management issues in smart manufacturing was proposed
by Shahbazi and Byun [68]. Blockchain technology was utilized to improve the privacy
and security of data transmission and communications in the Internet of Things (IoT) by
Zhu and Souri [69]. A generalized architecture applying blockchain technology in smart
agriculture to provide security goals was proposed by Vangala [70]. An intelligent manufac-
turing security model supported by the blockchain with the purpose of enhancing security,
privacy and non-tamperability was proposed by Xu [71]. A use case of blockchain proposed
framework for avoiding fraud scenarios and securing logistics trade was demonstrated
by Abhishek [72].

5.2. Research on Traceability and Trust Mechanisms in Smart Manufacturing


From the perspective of traceability and trust mechanisms, many scholars have dis-
cussed the application of blockchain technology to ensure the authenticity and credibility
of data and to enhance trust among smart manufacturing enterprises. Blockchain-based
trust mechanism for quality assurance aiming to promote the transparency, security and
efficiency of transactions was proposed by Zhang [56]. Blockchain technology was applied
to enhance the security of data in smart factories by Kho and Jeong [73]. A ubiquitous
manufacturing platform based on blockchain to provide a peer-to-peer communication
network between the end user and the service provider was proposed by Barenji [74]. A
manufacturing system in a pharmaceutical environment taking advantage of blockchain
properties and smart contracts to ensure data authenticity, transparency and immutability
was proposed by Leal [75]. Blockchain technology was applied in a cloud manufacturing
system in order to solve the trust problem and resource scheduling efficiency problem by
Cheng [76]. A blockchain platform to maintain a decentralized medical supply chain and
promote the traceability of the overall system was proposed by Panda and Satapathy [77].

5.3. Research on System Construction and Performance Optimization in Smart Manufacturing


From the perspective of system construction and performance optimization, many
scholars have acknowledged blockchain as a significant approach to enhance collaboration
among smart manufacturing enterprises and promote the cooperative development of the
smart manufacturing industry. As for using blockchain technology for system construction,
private-blockchain-based IIoT to facilitate the exchange of product and material tracking
information while ensuring confidentiality was proposed by Assaqty [24]. A blockchain-
based platform for Industry, named BPIIoT, to process all transactions based on blockchain
networks was proposed by Bai [81]. The Blockchain-based Shared Manufacturing (BSM)
framework to support the application of Cyber Physical Systems (CPS) was proposed
by Yu [83]. A novel hybrid intelligence model, ManuChain, which takes advantage of
blockchain-driven smart contracts to proactively decentralize task execution and make the
results available for optimization was proposed by Leng [61]. As for using blockchain tech-
nology for performance optimization. A smart manufacturing system applying blockchain
technology to promote both device-level data transmission and manufacturing service trans-
actions was proposed by Lee [78]. Research on blockchain reference system architecture,
aiming to promote applicability and consistency across the enterprise infrastructure was
conducted by Yalcinkaya [79]. Blockchain technologies and smart contracts was applied to
address trust issues between cloud service providers (CSP) and cloud service consumers
(CSC) while ensuring the effectiveness and efficiency of business services by Tan [80]. A
smart manufacturing conceptual scenario with the integration of blockchain to strengthen
data integrity and decrease data transmission risk was proposed by Shahbazi and Byun [82].
plying blockchain technology to promote both device‐level data transmission and manu‐
facturing service transactions was proposed by Lee [78]. Research on blockchain reference
system architecture, aiming to promote applicability and consistency across the enterprise
infrastructure was conducted by Yalcinkaya [79]. Blockchain technologies and smart con‐
tracts was applied to address trust issues between cloud service providers (CSP) and
Sensors 2023, 23, 155 cloud service consumers (CSC) while ensuring the effectiveness and efficiency of business9 of 16
services by Tan [80]. A smart manufacturing conceptual scenario with the integration of
blockchain to strengthen data integrity and decrease data transmission risk was proposed
by Shahbazitechnology
Blockchain and Byun was
[82].used
Blockchain technology
to secure wasdata
and improve used to secure
trust and
to avoid improve
fake data
data during
trust
systemto transactions
avoid fake data during system
by Shahbazi transactions
and Byun [84]. by Shahbazi and Byun [84].

6. Reference
Reference Framework of Blockchain Technology‐Enabled
Technology-Enabled Smart Manufacturing
Manufacturing
The reference framework for blockchain technology-enabled smart manufacturing is
The reference framework for blockchain technology‐enabled smart manufacturing is
presented in Figure 4. The framework mainly contains four layers, namely the infrastructure
presented in Figure 4. The framework mainly contains four layers, namely the infrastruc‐
layer,layer,
ture blockchain layer,layer,
blockchain services layerlayer
services and interaction layer.layer.
and interaction

Figure 4. Reference framework of blockchain technology‐enabled smart manufacturing.


Figure 4. Reference framework of blockchain technology-enabled smart manufacturing.

The infrastructure layer is responsible for recording, collecting, temporarily storing


and transferring data. This is the basis of the proposed framework. The blockchain layer, as
the core of the whole system, stores all the required information for service operations. The
main task of the service layer is to process and manage massive manufacturing data. The
interaction layer allows authorized users to query all sorts of manufacturing information
and to promotes information sharing.
To ensure the accuracy of data collection, the proposed framework is constructed
based on IoT technology, which significantly reduces deficiencies caused by artificial
constraints, such as time delays and data errors [65]. All physical objects are equipped
with electronic IoT-sensing equipment so that data can be automatically collected without
manual operations [85]. A series of smart manufacturing information, such as those relating
to manufacturing, assembly, transportation and warehousing, are sequentially acquired by
IoT sensors and transferred to the blockchain layer.
The blockchain layer is responsible for processing and storing the information up-
loaded by the infrastructure layer. The input data include material data, manufacture data,
transport data, stacking data, etc. The data can be divided into two types: data collected
from intelligent sensing equipment and data uploaded by authorized relevant parties.
All sort of data from procurement, manufacturing and transportation processes will be
transferred to the blockchain. The storage process was conducted as follows. First, the
input data are packaged into the candidate block and then broadcast to the entire network.
After that, the validation process is conducted based on a consensus mechanism. If the
candidate block is verified by most nodes, it is stored directly in the blockchain.
Sensors 2023, 23, 155 10 of 16

The services layer provides six services, namely information management, authoriza-
tion management, product traceability and process control. These services can further
facilitate the interaction layer in performing accurate and efficient information querying.
In general, information management can be divided into two types: basic and dynamic
information management. Basic information management is mainly used for input data
that do not change regularly in smart manufacturing, such as product size, performance
and materials. Dynamic information management is applied to information that frequently
changes due to uncertain external conditions, such as logistics and stacking information.
Authorization management is provided for user’s identity information authentication
before accessing data stored in the blockchain. Decentralized information sharing realizes
real-time data sharing between the upstream and downstream enterprises of the smart
manufacturing industry chain. Product & responsibility traceability utilizes smart contracts
to generate unique trace codes for tracing the whole process product information. Intelli-
gent process management helps analyze, predict and optimize the smart manufacturing
process based on data stored in the blockchain.
The interaction layer implements an information query. Relevant parties to smart
manufacturing can acquire the needed information using their unique digital identity. By
accessing the system, a dataset containing specific smart manufacturing information can be
obtained by relevant parties.

7. Challenges and Future Research


As a revolutionary new technology, blockchain significantly improves the efficiency,
security and trustworthiness of smart manufacturing systems. However, the theoretical
research and industrial practices of blockchain technology are still at an exploratory stage.
Many challenging issues need to be overcome before the benefits of blockchain can be
fully realized. In this section, we focus on the current challenges and future research on
blockchain technology-enabled smart manufacturing systems. We believe that it is essential
to investigate the potential contributions of blockchain technologies to smart manufacturing
in different sectors and promote research on the implications of blockchain technology for
smart manufacturing. Specifically, challenges and future research are listed in the following
three aspects:
(1) System integration
First, most IoT devices have poor computing power and limited storage space. How-
ever, the decentralized consensus algorithm of blockchain tends to require significant
computing power and energy consumption. For example, the PoW algorithm for Bitcoin
consumes high energy [86]. Therefore, consensus mechanisms with large power consump-
tion may not be feasible for low-power IoT devices. The large amount of blockchain data
also makes it impossible to fully deploy on smart manufacturing systems. In the future,
the integration of edge computing and cloud computing technology into blockchain may
overcome the resource limitation of Internet of things devices.
Second, applying blockchain technology to manufacturing information systems re-
quires data synchronization and transformation from the current enterprise information
systems. As blockchain holds continuously growing transaction records, there exists the
architectural design issue of effectively splitting a large amount of transaction data be-
tween the operational level and the enterprise level [87]. With a split blockchain, a lighter
operational blockchain of higher performance is available at the operational level [88,89].
Meanwhile, a complete history of transactions is still available at the enterprise level. Fur-
ther research is needed to make a smooth transition from a traditional central system to a
blockchain-based information system.
(2) Privacy protection
First, the adoption of blockchain technology in smart manufacturing can improve its
security through asymmetric encryption and digital signatures, but there are still risks
of cyberattacks due to the vulnerability of blockchain systems. For example, Malicious
Sensors 2023, 23, 155 11 of 16

users can hijack blockchain messages using a border gateway protocol (BGP) routing
scheme, resulting in higher block broadcast latency [90]. The peer-to-peer (P2P) network
of blockchain may also bring security issues, as data transfer and consensus processes are
all performed based on P2P networks. P2P systems may be subject to various networking
attacks, such as DoS, ARP spoofing, Sybil and routing attacks [91,92]. System vulnera-
bility must be seriously considered before blockchain technology can be fully applied to
smart manufacturing.
Second, blockchain technology ensures the data privacy of transactions to a certain
extent. Bitcoin, for example, is conducted through Internet protocol (IP) addresses rather
than users’ real identities, thus ensuring anonymity. In addition, single-use accounts are
created in Bitcoin to ensure user anonymity. However, these conservation mechanisms are
still not robust enough. A user’s pseudonym can be cracked by learning and deducing
multiple transactions related to a common user [93]. The complete storage of transaction
data on the blockchain may also lead to potential privacy breaches and a memory optimiza-
tion and flexible blockchain data storage scheme may reduce the risk of privacy leakage to
some extent [94]. Future work is needed to develop frameworks for improving the security
and privacy of blockchain technology-enabled smart manufacturing.
(3) System scalability
First, the system throughput of blockchain is very limited. It can only handle small
volumes of transactions. For example, Bitcoin can only process 7 transactions per sec-
ond [95,96]. While VISA’s credit card platform can process about 2000 transactions per
second, PayPal’s payment platform can process 170 transactions per second [97]. In short,
existing blockchain systems may not be suitable for high-volume applications. To address
the low throughput of blockchain, one direction is to develop a more efficient consen-
sus algorithm. A new distributed protocol to improve the throughput of PoW, which
first solved difficult problems with a small computational load and then reached con-
sensus in multiple groups was proposed by Luu [98]. Future research should focus on
improving blockchain throughput while maintaining its characteristics of data transparency,
immutability and trustworthiness.
Second, the scalability of existing blockchain systems limits their widespread use in
large-scale smart manufacturing. The system could be expanded to include numerous
participants, such as IIoT smart devices, suppliers, manufacturer users, cloud and edge
servers. As the number of participants and the size of the ledger increase, the amount of
data being processed and stored in the chain keeps growing. As a result, system latency and
storage costs gradually increase, while throughput decreases. In general, the performance
of a blockchain system decreases as the number of users and devices increases [99,100].
The scalability issues could be addressed by three schemes, including off-chain payment
network, Bitcoin-NG and sharding mechanism [101,102]. Future work should be devoted
to solving the blockchain scalability issue and creating a high-performance blockchain
technology-enabled smart manufacturing system.

8. Conclusions
Many studies on blockchain technology and smart manufacturing in Industry 4.0
have been conducted individually, but the research on simultaneously applying blockchain
technology in smart manufacturing is still in its infancy. To address this limitation, the article
surveys the research progress of blockchain technology-enabled smart manufacturing and
provides insights for future research in this field. The following contributions were made
by this review:
First, a comprehensive review of blockchain technology in smart manufacturing was
conducted. The concepts of blockchain technology and its key technologies are charac-
terized in detail. Four types of critical issues in smart manufacturing were identified and
the corresponding blockchain solutions were discussed. The potential applications and
advantages of applying blockchain technology in smart manufacturing were summarized
through a literature review.
Sensors 2023, 23, 155 12 of 16

Second, a conceptual framework for blockchain technology-enabled smart


manufacturing systems was proposed. The framework can be used as a guideline to
help develop a deep understanding of how to integrate blockchain into various smart
manufacturing applications.
Finally, current challenges and future research related to blockchain as applied to
smart manufacturing are discussed. Potential solutions for future improvement were also
provided. Future work should focus on ways to improve system integration, privacy
protection and system scalability.

Author Contributions: Conceptualization, X.G.; methodology, X.G.; validation, X.G., G.Z. and Y.Z.;
formal analysis, X.G.; investigation, X.G.; resources, X.G.; data curation, X.G.; writing—original
draft preparation, X.G.; writing—review and editing, G.Z.; supervision, Y.Z.; project administra-
tion, Y.Z.; funding acquisition, Y.Z. All authors have read and agreed to the published version of
the manuscript.
Funding: This research was funded by Key Project of National Natural Science Foundation of China
grant number U2001201.
Conflicts of Interest: The authors declare no conflict of interest.

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