Blockchain in a

Volatile-Uncertain-Complex-Ambiguous
World Kaliyan Mathiyazhagan
Visit to download the full and correct content document:
https://ebookmass.com/product/blockchain-in-a-volatile-uncertain-complex-ambiguou
s-world-kaliyan-mathiyazhagan/
Blockchain in a
VOLATILE-UNCERTAIN-
COMPLEX-AMBIGUOUS
WORLD
This page intentionally left blank
Blockchain in a
VOLATILE-UNCERTAIN-
COMPLEX-AMBIGUOUS
WORLD

Edited by

KALIYAN MATHIYAZHAGAN
Professor, Thiagarajar School of Management,
Madurai, Tamil Nadu, India

V. RAJA SREEDHARAN
Senior Lecturer, Cardiff School of
Management, Cardiff Metropolitan
University, Llandaff, United Kingdom

DEEPAK MATHIVATHANAN
Assistant Professor, Centre for Logistics and Supply Chain
Management, Loyola Institute of Business Administration
(LIBA), Nungambakkam, Chennai, India

VIJAYA SUNDER M
Assistant Professor, Indian School of Business,
Hyderabad, India
Elsevier
Radarweg 29, PO Box 211, 1000 AE Amsterdam, Netherlands
The Boulevard, Langford Lane, Kidlington, Oxford OX5 1GB, United Kingdom
50 Hampshire Street, 5th Floor, Cambridge, MA 02139, United States
Copyright © 2023 Elsevier Inc. All rights reserved.
No part of this publication may be reproduced or transmitted in any form or by any
means, electronic or mechanical, including photocopying, recording, or any
information storage and retrieval system, without permission in writing from the
publisher. Details on how to seek permission, further information about the
Publisher’s permissions policies and our arrangements with organizations such as the
Copyright Clearance Center and the Copyright Licensing Agency, can be found at our
website: www.elsevier.com/permissions.
This book and the individual contributions contained in it are protected under
copyright by the Publisher (other than as may be noted herein).
Notices
Knowledge and best practice in this field are constantly changing. As new research
and experience broaden our understanding, changes in research methods, professional
practices, or medical treatment may become necessary.
Practitioners and researchers must always rely on their own experience and knowledge
in evaluating and using any information, methods, compounds, or experiments
described herein. In using such information or methods they should be mindful of
their own safety and the safety of others, including parties for whom they have a
professional responsibility.

To the fullest extent of the law, neither the Publisher nor the authors, contributors, or
editors, assume any liability for any injury and/or damage to persons or property as a
matter of products liability, negligence or otherwise, or from any use or operation of
any methods, products, instructions, or ideas contained in the material herein.
ISBN: 978-0-323-89963-5

For information on all Elsevier publications visit our website at

https://www.elsevier.com/books-and-journals

Publisher: Joseph P. Hayton

Acquisitions Editor: Kathryn Eryilmaz
Editorial Project Manager: Naomi Robertson
Production Project Manager: Niranjan Bhaskaran
Cover Designer: Greg Harris

Typeset by TNQ Technologies

Contents

Contributors xi

SECTION 1 Blockchain for the VUCA world

1. Introduction to blockchain in supply chain management 3

Raga Ravali B
1. Components of blockchain 4
2. Working of blockchain 5
3. Digital signature 6
4. SHA 256 algorithm 6
5. Decentralized Autonomous Organization (DAO) 7
6. Classification of blockchain 7
7. Consensus algorithms 8
8. Blockchain platforms 9
9. Characteristics of blockchain 10
10. Applications of blockchain in supply chain management 11
11. Challenges in implementing blockchain in supply chain sector 15
References 16

2. Basics of blockchain technology for supply chain operations 17

Simranjeet Kaur
1. Introduction 17
2. Understanding blockchain technology 18
3. Viability of blockchain for supply chain 21
4. Blockchain technology advantages 23
5. Case studies: supply chain transparency 26
References 27

3. Complexity and ambiguity for blockchain adoption in

supply chain management 29
Raj Kumar Reddy Kotha and Micheal Sony

1. Introduction 29
2. Blockchain 30
3. VUCA 34
4. Final thoughts and conclusion 40
References 41

v
vi Contents

4. Addressing uncertainty in supply chain management

through blockchain 43
M.A.S.R. Abhilash, Om Ji Shukla and Sonu Rajak
1. Introduction 43
2. Related works 44
3. The necessity of blockchain for supply chain uncertainty 46
4. Application of blockchain in different supply chain 48
5. Challenges and future research directions 51
6. Conclusion 53
References 53

5. Role of blockchain in achieving solutions in

ambiguous supply chain operations 57
Divya Mishra, Pushpa Singh and Narendra Singh

1. Introduction 57
2. Blockchain and supply chain management 58
3. Blockchain architecture for SCM 62
4. Implementation challenges of blockchain in SCM 65
5. Applications of blockchain and supply chain in a different sector 67
6. Conclusion 72
References 72

SECTION 2 Applications of blockchain in product supply

chains

6. Issues and challenges of blockchain technology

implementation in the meat supply chain 77
V. Senthil and K. Mathiyazhagan
1. Introduction 77
2. Goat rearing, meat cuisines, and marketplaces 79
3. Case illustration 81
4. Issues and challenges of blockchain adoption 86
5. Conclusion 87
References 88
 Contents vii

7. Blockchain technology approach for drug delivery in

health care: A review 89
K.N.G.L. Reshwanth, G. Rajyalakshmi, Yendeti Venkata Siva Prasanth,
Chalicham Hanish, S. Aravind Raj and K. Jayakrishna

1. Blockchain technology in health care 89

2. Conclusion 98
References 98

8. Application of Blockchain Technology in agri-food

supply chains: Opportunities and challenges 101
Rajesh Kr Singh and Laxmi Pandit Vishwakarma
1. Introduction 101
2. Blockchain technology and it’s applications in Agri food supply chain 103
3. Benefits of adopting the blockchain technology 106
4. Challenges in implementing blockchain technology 110
5. Conclusion 113
References 114

SECTION 3 Applications of blockchain in service supply

chains

9. The application of blockchain in talent supply chain

management 121
R. Deepa
1. Introduction 121
2. Literature review 123
3. Discussion 132
4. Conclusion 137
References 138

10. Background verification using blockchain: case of

Ajay, a star performer 141
B. Aiswarya, G. Ramasundaram and Ameeta Fernando
1. Introduction 141
2. Why blockchain in recruitments? 144
3. How does blockchain work? 145
4. Conclusion 147
References 148
viii Contents

11. Use cases of blockchain technology for sustainable

global HR operations in industry 4.0 149
Alpana Agarwal

1. Introduction 149
2. Understanding blockchain technology and theorization of
blockchain-induced HRM 150
3. Use cases for blockchain HR 152
4. Future of blockchain in HR 157
5. Conclusions 158
References 158

12. Application of blockchain for handling volatility in supply

chainsda finance perspective 163
MP Pandikumar and VM Manickavasagam

1. Introduction 163
2. Supply chain volatility 164
3. Dimensions of supply chain volatility 164
4. Problems of supply chain volatility 170
5. Role of blockchain in supply chain volatility 177
6. Benefits of blockchain technology 178
7. Global landscape in the applications of BCT in supply chain technology 187
8. BCT Applications in Indian banking industry 189
9. Proposed model of further research 190
10. Conclusion 190
References 191

SECTION 4 Blockchain managerial issues

13. Blockades of blockchain in supply chain management 197

Esha Jain and Jonika Lamba
1. Introduction 197
2. Pillars of blockchain technology 198
3. The objective of the study 200
4. Materials and methods 200
5. Significance of blockchain technology 200
6. Competitive factors for implementation of blockchain technology (BC) 201
7. Application of blockchain in supply chain management 202
 Contents ix

8. Barricades in implementation of blockchain in supply chain management 203

9. Conclusion 214
References 214

14. Key success factors for blockchain implementation in

supply chain management 219
Fariba Goodarzian, Ajith Abraham and Peiman Ghasemi
1. Introduction 219
2. Importance and necessity of the blockchain in the SC management 221
3. Blockchain technology 224
4. Supply chain management 225
5. The application of the blockchain on SC management 226
6. Conclusion 229
References 230
Further reading 231

15. An ISM and MICMAC approach for evaluating the barriers

hindering the implementation of blockchain technology
in supply chains 233
Sasikumar Perumal, Hamda Alhameli, Anood Mohammed Alhosani
and Moaz Nagib Gharib

1. Introduction 233
2. Literature review 235
3. Problem statement 237
4. Solution methodology 237
5. Results and discussion 247
References 248

16. Blockchain-enabled humanitarian supply chain

management: sustainability and responsibility 251
Bavly Hanna, Guandong Xu, Xianzhi Wang and Jahangir Hossain
1. Introduction 251
2. Theory-based supply chain management 253
3. Barriers to humanitarian supply chain management 262
4. Attributes of a blockchain to supply chain management 266
5. Conclusion 268
References 269

Index 277
This page intentionally left blank
Contributors

M.A.S.R. Abhilash
National Institute of Technology Patna, Patna, Bihar, India
Ajith Abraham
Machine Intelligence Research Labs (MIR Labs), Scientific Network for Innovation and
Research Excellence, Auburn, Washington, United States
Alpana Agarwal
Amity University, Noida, Uttar Pradesh, India
B. Aiswarya
Loyola Institute of Business Administration Loyola College, Chennai, Tamil Nadu, India
Hamda Alhameli
Department of Industrial Engineering Technology, Abu Dhabi Women’s Campus,
Higher Colleges of Technology, Abu Dhabi, United Arab Emirates
Anood Mohammed Alhosani
Department of Industrial Engineering Technology, Abu Dhabi Women’s Campus,
Higher Colleges of Technology, Abu Dhabi, United Arab Emirates
S. Aravind Raj
School of Mechanical Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India
R. Deepa
Loyola Institute of Business Administration (LIBA), Chennai, India
Ameeta Fernando
Loyola Institute of Business Administration Loyola College, Chennai, Tamil Nadu, India
Moaz Nagib Gharib
Department of Management, College of Commerce and Business Administration, Dhofar
University, Salalah, Sultanate of Oman
Peiman Ghasemi
Department of Logistics, Tourism & Service Management, German University of
Technology in Oman (GUtech), Muscat, Oman
Fariba Goodarzian
Machine Intelligence Research Labs (MIR Labs), Scientific Network for Innovation and
Research Excellence, Auburn, Washington, United States; Engineering Group, School of
Engineering, University of Seville, Camino de los Descubrimientos s/n, Seville, Spain
Chalicham Hanish
School of Mechanical Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India

xi
xii Contributors

Bavly Hanna
University of Technology Sydney, Sydney, NSW, Australia
Jahangir Hossain
University of Technology Sydney, Sydney, NSW, Australia
Esha Jain
IILM University, Gurugram, Haryana, India
K. Jayakrishna
School of Mechanical Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India
Simranjeet Kaur
University School of Business (USB), Chandigarh University, Gharuan, Punjab, India
Raj Kumar Reddy Kotha
Department of Mechanical Engineering, Indian Institute of Information Technology
Design & Manufacturing (IIITDM), Kancheepuram, Tamil Nadu, India
Jonika Lamba
School of Management & Liberal Studies, The NorthCap University, Gurugram,
Haryana, India
VM Manickavasagam
Dean - Faculty of Management, Alagappa University, Karaikudi, India
K. Mathiyazhagan
Thiagarajar School of Management, Madurai, Tamil Nadu, India
Divya Mishra
Department of Computer Science and Engineering, ABES Engineering College,
Ghaziabad, Uttar Pradesh, India
MP Pandikumar
Loyola Institute of Business Administration, Chennai, Tamil Nadu, India
Sasikumar Perumal
Department of Industrial Engineering Technology, Abu Dhabi Women’s Campus,
Higher Colleges of Technology, Abu Dhabi, United Arab Emirates
Sonu Rajak
National Institute of Technology Patna, Patna, Bihar, India
G. Rajyalakshmi
School of Mechanical Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India
G. Ramasundaram
PSG Institute of Management Studies, Coimbatore, Tamil Nadu, India
Raga Ravali B
Senior Consultant, Ernst & Young LLP, Hyderabad, Telangana, India
K.N.G.L. Reshwanth
School of Mechanical Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India
 Contributors xiii

V. Senthil
Thiagarajar School of Management, Madurai, Tamil Nadu, India
Om Ji Shukla
National Institute of Technology Patna, Patna, Bihar, India
Rajesh Kr Singh
Management Development Institute Gurgaon, Haryana, India
Pushpa Singh
Department of Computer Science and Engineering, GL Bajaj Institute of Technology
and Management, Greater Noida, India
Narendra Singh
Department of Management Studies, G. L. Bajaj Institute of Technology and
Management, Greater Noida, Uttar Pradesh, India
Yendeti Venkata Siva Prasanth
School of Electronics Engineering, Vellore Institute of Technology, Vellore, Tamil
Nadu, India
Micheal Sony
Faculty of Engineering, Namibia University of Science and Technology, Windhoek,
Namibia
Laxmi Pandit Vishwakarma
Management Development Institute Gurgaon, Haryana, India
Xianzhi Wang
University of Technology Sydney, Sydney, NSW, Australia
Guandong Xu
University of Technology Sydney, Sydney, NSW, Australia
This page intentionally left blank
SECTION 1

Blockchain for the VUCA

world

1
This page intentionally left blank
CHAPTER 1

Introduction to blockchain in
supply chain management
Raga Ravali B
Senior Consultant, Ernst & Young LLP, Hyderabad, Telangana, India

The digital world today is highly unpredictable and vulnerable with new
innovations entering the market every day. To survive in the VUCA world
.

(volatile, uncertain, complex, and ambiguous), there is a need of path-

breaking research in the field of technology. The traditional strategies
require modification to suit the changing businesses. Blockchain is one of
the revolutionary outcomes of state-of-the-art research alongside artificial
intelligence and machine learning. It is highly relevant in supply chain
because of the constant security and trust issues the industry is facing.
Blockchain research and applications have emerged dramatically over
the past few years. Blockchain technology is a pioneer to efficiently solve
the problems of security and privacy issues in the banking industry at low
cost while it has the same potential in the supply chain industry. Blockchain
has the inherent capacity to bring a phenomenal change in the governance
models and establish controls based on a high degree of transparency and
decentralization. Though the scope of blockchain is broad, it faces several
challenges such as absence of regulatory standards, illegal usage of crypto-
currency, scalability, and internet accessibility. It is important to work on
the technology with these aspects under consideration.
Blockchain technology introduced technological disruptions to the
traditional business processes since its inception almost a decade ago
(Nakamoto & Bitcoin, 2008). Its applications in manufacturing and service
supply chains have been prominent in the last decade. As a sole source of
information, Blockchain helps integrate all functions of a firm’s operations
by improving visibility, transparency, robustness, and security, based on
record-keeping functionalities, to accurately assess demand, effectively
manage resources, control costs and reduce inventory. International in-
stitutions, including the World Bank, IMF (International Monetary Fund)
and United Nations have been closely monitoring blockchains’ develop-
ment and have explored their application in various fields. Blockchain is

Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

ISBN 978-0-323-89963-5 © 2023 Elsevier Inc.
https://doi.org/10.1016/B978-0-323-89963-5.00006-X All rights reserved. 3
4 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

believed to be critical to the global economy’s long-term viability, bringing

benefits to consumers and society in general (Casino et al., 2019).
The recent advancement of digital technologies has paved the way for
Blockchain as a peer-to-peer transaction platform, which does not need any
third-party intermediary. Consequently, Blockchain received significant
attention in Supply chain management. The supply chain is a “network of
organizations involved in the various processes and activities that produce
value in the form of products and services in the hands of the end customer
through upstream and downstream links”. The major issues the supply
chain sector encounters currently are product traceability and counterfeit
products despite RFID tags being used for every product. Product
ownership management using blockchain helps in preventing the cloning
of RFID tags. Supply chain finance involves financial institutions collab-
orating upstream and downstream to provide financial services and products
(Du et al., 2020) whose problems can be solved using Blockchain as it
provides reliable information. Proof of work was used to enhance security
while it led to selfish mining, which is an impediment resulting in forking
and a long-run change of control to the miner (Zheng et al., 2018). The
problem of technology adoption remains despite solving other issues as it
depends on technical knowledge and understandability (Cuccuru, 2017).
Blockchain in supply chain helps to establish circular economy model,
which focuses on make-use-recycle rather than the traditional approach of
make-use-dispose. This helps to win the trust of the customers as they can
trace the products from origin to sale (Casado-Vara et al., 2018).
Blockchain is a distributed ledger technology-based digital ledger for
economic transactions. It is a data recording mechanism that makes it
resistant to hacking, manipulation or cheating the system. The database
information is visible to every member of the network. It is managed in a
decentralized manner and called a “peer-to-peer” network. It is highly
secure by design and hacker-proof.

1. Components of blockchain
• Node: A node is a computer or a user in the network. They form the
fundamental elements of the blockchain network. All nodes in the
network are connected to exchange information. The functions of a
node are as follows,
• Nodes verify if a transaction block is valid and accept or reject it
accordingly.
• Nodes archive the blocks of transactions.
 Introduction to blockchain in supply chain management 5

• Nodes transmit the transaction history to other nodes, which need

to sync with the network.
• Block: A block contains the data, which is like the pages in the ledger
book.
• Chain: It is a sequence of blocks connected. Any change in a block will
have a ripple effect on every other block linked.
• Miners: Miners aim at validating every transaction. They run a crypto-
graphic hash algorithm to perform the verification. Miners require a
high-speed processing system.
• Transactions: It is the transfer of data between nodes. These transac-
tions are permanently recorded only after verification.

2. Working of blockchain
It is a network of interconnected nodes in which the data is published on a
shared ledger. The first node, which does not have a reference to the
previous node is called the genesis node. Every transaction in the network is
stored in the form of a hash, making it highly secure. The validation of data
is done by the process called mining while the nodes performing this
process are called miners. The users can access the system with the help of
public and private keys. Some of the powerful characteristics of blockchain,
which make it a promising technology are immutability, decentralized,
transparency, persistence, independent operation, anonymity, auditability,
privacy, and consensus-driven (Zheng et al., 2018). Blockchain also has the
capability of executing smart contracts, which are conditions and rules of a
contract coded into the system. The code is self-executed by the system,
and it notifies the parties involved in the contract about the terms of the
contract at the right time (Mol et al., 2019).
The header and body are two elements of each block in a blockchain.
The block header consists of the block version, parent block hash, merkle
tree root hash, timestamp, nBits, and nonce. The transaction counter and
the actual transactions make up the block body. Asymmetric cryptographic
mechanisms are used to validate the transactions (Zheng et al., 2018). It uses
a digital cryptographic signature in a trust less environment. The crypto-
graphic security check is done at two levels. At the first level, private keys
are used to authenticate the transaction while at the second level; miners
verify the transaction (Lipton, 2018).
Blockchain Technology (BCT) is distributed ledger that enables secure
asset transfer. Blockchain can be used to tokenize any physical asset such as
6 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

land, gold, etc., for ease of exchange. Blockchain stores the data in a
decentralized manner. Every node in the blockchain network has a
duplicate copy of the complete ledger. Every transaction in the blockchain
network is recorded in the distributed ledger database. The database is
immutable but visible to every participant in the network, thereby ensuring
transparency. Blockchain differs from other databases in the way data is
encrypted and structured. Blockchain appends a timestamp to every
transaction and every transaction hash code is linked to the next transaction
forming a chain. This clearly explains the name, which means, the data
chunks (blocks) are linked as a chain. Blockchain has immense potential in
terms of embedding the control norms by means of smart contracts. Smart
contracts also play a significant role in quality control by ensuring the
product parameters match the predefined standards. The temperature
compliance for goods across the cold chain can be accurately verified using
smart contracts (Azzi et al., 2019). This eliminates the need for other
external legal advisors. The true value of blockchain is still decades away
from reaching the early and late majority.

3. Digital signature
The data authenticity of blockchain systems is maintained using digital
signature. It is a mathematical scheme based on public key cryptography.
During each transaction in the blockchain network, there is an encryption
and decryption process. The digital signature algorithm used in blockchain
is Elliptic curve digital signature algorithm (ECDSA). Every user owns a
public and a private key. The sender encrypts or signs the data using the
private key. The encrypted data is sent to everyone in the network. This
data is accessed using public keys. There are two stages in assigning digital
signatures, namely signing stage, and verifying stage.

4. SHA 256 algorithm

A cryptographic hash is similar to a signature for data. It secures the data
against manipulation. Hash differs from encryption in not being able to be
reverted back to the original form, which (decryption) is possible with
encrypted text. This was first developed by the National Security Agency.
This standard was adopted by blockchain developers to develop a highly
secure system.
 Introduction to blockchain in supply chain management 7

In a blockchain system, the large input data is first broken into portions
of 512 bits. The last portion will not have 512 bits because every input
message may not be a multiple of 512. This part is appended with additional
bits to make it 512. This altered data is passed through a compression
function and converted to 256 bits. This is then appended to the next block
and the process of compression is repeated further. Thus the data of a block
becomes a part of the next block, thereby forming a chain. Two properties
of the hash value are: collision-free and immutable. Collision-free implies
that no two blocks can have the same hash value, and immutable means
that the hash value cannot retrieve block info.

5. Decentralized Autonomous Organization (DAO)

A “Decentralized Autonomous Organization” or (DAO) is a category of
organization where there is no hierarchy and hierarchical structure, rules
and regulations are encoded in codes in the form of blockchain smart
contracts. Bitcoin is considered to be the first DAO while this concept was
introduced in the early 1990s. Buterin defines a DAO as a “virtual entity
that has a certain set of members or shareholders which have the right to
spend the entity’s funds and modify its code”. DAO enables self-governing
blockchain system. In the initial years DAO was subject to several hacks and
this helped in identifying the loopholes in the system. Thus several highly
secure systems were developed.

6. Classification of blockchain
Blockchains are classified under three distinctive categories based on the
access permissions. They are Public blockchain, consortium blockchain and
Private blockchain.
Public blockchain: These types of blockchains have no restrictions on
validations and participation. The authority and control over the block-
chain is equally distributed among all the participants (Kiran et al., 2018).
Private blockchain: These are restricted blockchains, which require
permission to perform transactions. This results in improved governance
and control than the public blockchain. They are used within closed net-
works (Kiran et al., 2018).
Consortium blockchain: These blockchains are also known as hybrid
blockchains. It has the combined characteristics of private and public
blockchain. These are usually governed by groups rather than single entity
(Kiran et al., 2018).
8 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

7. Consensus algorithms
A consensus algorithm is a mechanism used to verify the validity of data in
the system. This enhances the security of the system and makes it trust-
worthy. There are several types of consensus algorithms used at present
with Proof of stake being the most efficient algorithm. The different
consensus algorithms are explained below.

7.1 Proof of work (PoW)

Proof of work is a computationally demanding procedure in which each
network node creates a hash value. The block header is changed as a result
of this. Different nonces are used to calculate hash values until the target is
met. All nodes in the network confirm the value obtained by one node.
This process of calculating the hash value is called mining and the nodes
involved are called miners. There is a problem of forks being generated
when two nodes find the right value at the same time. As per PoW pro-
tocol, the longer chain is considered to be the authentic chain and used for
further blocks. The miners will be rewarded with bitcoins based on the
amount of mining done.

7.2 Proof of stake (PoS)

The energy consumption in PoW is higher as it is open to everyone in the
network and also the need of fast and efficient operating systems. In PoS,
the miners are allowed to find the nonce in proportion to the amount of
currency they own. The belief is that the largest stakeholder will not attack
the network but there is a chance of the richest person becoming dominant
and controlling the mining process. To avoid this problem several alter-
natives such as Peercoin and Blackcoin were proposed.

7.3 Delegated proof of stake (DPoS)

In DPoS, the currency holders can delegate the process of validation to
others. These delegated miners can be changed and removed as required by
the token holder. This helps reduce the centralization and results in a
collaborative effort.

7.4 Byzantine fault tolerance (BFT)

The transfer of inconsistent information into the blockchain network is
prevented using BFT algorithms. It helps avoid the Byzantine problem, in
this process the right transactions are identified by repeated voting.
 Introduction to blockchain in supply chain management 9

7.5 Practical byzantine fault tolerance (PBFT)

In PBFT, the node that receives 2/3 of the votes can proceed to the next
processing step. This ensures that the nodes are known to everyone in the
network, thereby enhancing the security of the system.

7.6 Proof of burn (PoB)

In PoB the miners must burn their currency to increase their chance of
being selected for mining the next block. Burning is done by sending the
coins to an unrecoverable address. This however leads to wastage of re-
sources. Slim coin uses this.

7.7 Proof of capacity (PoC)

In PoC, the miner must have more hard disk space. In PoC, the data sets
known as “Plots” are generated. Before the mining process, the miners
should download these plots into their hard disks. So, greater the space,
greater will be the chances of mining. Burstcoin uses PoC.

7.8 Proof of activity (POA)

PoA is the combination of PoW and PoS. The miners start with PoW and
then switch over to PoS when the blocks do not contain transactions. It is
high energy consuming process. Decred uses this type of consensus
algorithm.

8. Blockchain platforms
Blockchain platforms enable building blockchain-based applications. These
platforms can be permissioned or permissionless. The blockchain platform
suitable for a particular application can be chosen based on the ease of
working on it, consensus algorithm used, ledger type and how secure the
platform is. There are several platforms available today; a few popular
platforms are discussed below in detail.
Hyperledger Fabric: It was developed for permissioned systems. Only
authorized participants can perform the transactions over this platform. It was
developed by Linux foundation. It has variants such as Sawtooth and Ioha.
Ripple: It was found in 2012. It enables global transfers as a “XRP or
Ripple” digital currency, which is now one of the successful crypto-
currencies such as Ether and Bitcoin. Companies such as American express
and Delloite are testing the platform.
10 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

Quorum: This was found by J.P. Morgan. It is a different version of

Ethereum. In contrast to other blockchain platforms, this uses vote based
algorithms to process the transactions. It also permissioned type of ledger.
Corda: It was built in 2015 by a consortium of financial institutions
called R3. Today, it is also used by other industries. This platform does not
have a cryptocurrency of its own.
EOS: It was developed with the aim of offering the facilities to develop
decentralized applications. The users of these applications are exempted
from any fees required for transactions.
Ethereum: It is an open source platform known for running smart
contracts. The run time environment for Ethreum is provided by Ethereum
virtual machine (EVM). It is a permissionless ledger and has a large com-
munity support, which is significant for any programmer.
A few other blockchain platforms are Tezos, Stellar, Hedera, Open-
chain, Dragonchain and EOS. Thus a broad range of platforms are available
to a user today. This also encourages many start-up enterprises to invest in
blockchain based application.

9. Characteristics of blockchain
Resilience: Every member in the blockchain network has a copy of the
data, which protects the system from attacks.
Decentralization: A blockchain network functions without any third
party central authority. The users in the system verify the transactions,
which is more reliable than a central authority doing the verification.
Anonymity: The identity of a user in the blockchain system is not
exposed, as the transactions are carried out using their addresses. These
addresses can be changed any number of times by the user.
Auditability: Every transaction on blockchain can be traced back using
the timestamp and every node on the network is accessible to the users.
This enhances the transparency and traceability of the system.
Immutability: The data in a blockchain is in the form of hashes and
the hash of the new block contains the information of the previous block.
This makes the system fool proof. There have been evidenced of hackers
using forking to manipulate the data. But the original data remains intact.
Security: Security is crucial for any supply chain system. Blockchain
offers high data security as the historical data is immutable. The data is
stored in several systems across the network; hence data manipulation be-
comes difficult.
 Introduction to blockchain in supply chain management 11

10. Applications of blockchain in supply chain

management
Supply chain today includes extensive paper work and manual inspections,
which reduces the efficiency in processing. The smart contracts in block-
chain can help to improve efficiency and reduce the associated risk (Guo &
Liang, 2016).
The existing centralized systems face the risk of a. single node attack, b.
data manipulation, and c. information exposure as they are maintained by
third party authorities. Blockchain proves to be the most promising current
technical solution that can address the issues faced by supply chain industry
due to its disruptive presence and even robust if integrated with IoT.
Blockchain aids in reducing counterfeit goods by saving the complete
product data right from origin. The existing supply-chain management
approach lacks coordination amongst multiple network actors. As a result,
there are time delays, disparities in knowledge, and an ineffective man-
agement process across supply chains. The current infrastructure lacks the
capabilities needed to successfully manage data so that it is consistent across
all supply chain stakeholders, blockchain helps to streamline the supply
chain processes. Smart contracts in blockchain helps in improving the
integrity of the company by serving as a data source for regulatory and
compliance standards. At each link in the supply chain, there are a slew of
different participants. Even now, most procedures are still carried out by
humans. This leads to errors in various processes such as inventories,
finance, accounting, invoices, and so on. Smart contracts offered by
blockchain also provide a framework for promoting automation and
reducing reliance on human labor. Blockchain has been successfully
implemented in the first stage for the following cases to solve various
problems.
Oil supply chaindTo track the oil from its origin till it reaches the
customer thereby improving operational efficiencies and reducing the time
taken to conduct transactions across its operating firms. This tracking also
helps in recycling and waste management, regulatory management, finan-
cial reconciliation and tracking carbon footprint. Companies ,which are
implementing blockchain in oil and gas supply chain are Shell, Abu Dhabi
national oil company, British Petroleum, Chevron, ExxonMobil, etc.
(Dutta et al., 2020)
Diamond trackingdIncrease the accuracy of production data to in-
crease transaction transparency and enable traceability across the value
12 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

chain. Everledger, a firm has recognized the need for traceability and is
aiming to increase transparency in the diamond supply chain, eliminating
fraud, illegal markets, and trafficking. The company has identified 40
metadata points that characterize a diamond (e.g., serial number, color,
carats, cut, clarity, angles) digitally secured records on blockchain with links
to the laser inscription on the stone’s girdle. There have been 1.6 million
gems uploaded to the blockchain network thus far. Their services are
mostly used by insurance companies, banks, and open markets in the
transaction verification process, but they have lately expanded their business
model to include other luxury goods such as wines and artworks (Dutta
et al., 2020).
Food and FMCGdTo track the state of food, its quality, expiry, etc.,
from farm to fork. Implementing blockchain is also touted to aid brand
owners to protect their data while also integrating their online and offline
traceability systems for food safety and quality management channels. RFID
tags are used to gather information about the products such as moisture,
movement, temperature, chemical/gas, and the data was transferred over
IoT. This data is stored on blockchain, which provides the data mapping
across the entire supply chain (Dutta et al., 2020).
E.g.: Cargill, an American agriculture firm, is testing blockchain tech-
nology to allow customers to trace the turkey’s origins back to the farm.
Using an IBM-developed blockchain infrastructure, Walmart is attempting
to track fresh and leafy greens items back to the farm. Walmart utilizes
blockchain technology to trace the meat it imports from China. Data such
as cold chain operations and sales dates are maintained in the blockchain for
this purpose.
LogisticsdBlockchain integration helps in tracking the product from
its raw material stage at the origin till it is turned into final product and sold
at a retail store. The primary objectives are to cut costs, prevent theft and
fraud, and shorten transaction times. For hyperconnected logistics, block-
chain can be combined with smart contracts. CargoCoin company uses
smart contracts in a project to establish a safe mechanism of storing and
transferring tokenized items in a variety of supply chain businesses (shipping
via land, sea, and air). On a global scale, it facilitates communication be-
tween cargo traders and transporters. This allows all supply chain stake-
holders to have a way for submitting, receiving, rejecting, approving, or
signing necessary documentation.
 Introduction to blockchain in supply chain management 13

AgriculturedUsing blockchain to develop a product insurance system

helps to protect against yield loss by using satellites to measure precipitation
and automatically trigger payouts.
Demand forecastingdToday every member in the supply chain
derives their own forecast based on the past data available due to lack of
complete information. This leads to higher or lower inventory levels im-
pacts the finances of the firm. Blockchain helps every member in supply
chain to produce one single forecast based on the demands of the end
consumer without affecting the privacy of the data as it can be provided
accessible only to the targeted members.
Pharmaceutical supply chaindBlockchain applications are being
used to tackle the global trade in counterfeit medications across the chain
including raw materials providers, health organizations, manufacturers,
packaging, distributors, logistics firms, retailers, and patients. According to
PricewaterhouseCoopers (PwC), sales of counterfeit medications range
between US $163 billion to $217 billion each year. This is especially true
when it comes to online drug purchases, where the World Health Orga-
nization believes that half of the drugs sold on the internet are counterfeit.
Blockchain enables consumers to use the medicines with complete infor-
mation about the medicine thereby reducing health risk (Dutta et al., 2020).
Business process managementdBlockchain allows effective business
process management through smart contracts by merging the control flow
and operational logic of interorganizational business. These controls, which
act as an interface between enterprise applications and blockchain, are
enabled by triggers. According to a pilot study of contract management for
a grid operator, there is an information gap between various stakeholders,
which leads to suboptimal business performance, which can be easily solved
by the traceability and transparency of blockchain. In addition, blockchain
technology can be utilized to increase the efficiency, traceability, and vis-
ibility of orders in customer-order-process management (COM). Proof of
concept algorithm in blockchain also facilitates asset management, which
ensures transparency, dependability, and efficiency (Dutta et al., 2020).
10.1 Financial supply chain
• Consortium banking: The banks form a consortium to lend money
for large projects in order to share the financial risk. The inspection
of various documents is done in parts by all the banks. The collected in-
formation can be easily shared across the banks using blockchain (Shah
& Jani, 2018).
14 Blockchain in a Volatile-Uncertain-Complex-Ambiguous World

• Payments: The introduction of e-payments has increased the number

of transactions but the existing online portals are not efficient enough to
handle and track these transactions. Even with the KYC process it is
arduous to link the customer data and trace their transactions. Block-
chain provides a solution by avoiding the need for an intermediary
and its decentralized public ledger (Shah & Jani, 2018).
• Taxation: Blockchain proves advantageous for the government in tax
calculation, receiving tax payments, expenditure of taxes as it reduces
the administration costs associated with transaction taxes such as VAT,
withholding Tax, stamp duties, etc. Blockchain also helps in the GST
system in India for end to end monitoring (Aras & Kulkarni, 2017).

10.2 Shipping Industry

The cargo shipping industry uses blockchain to build a verifiable and
distributed shipping system that aggregates and interconnects all business
activity in the context of a shipment (finance, banking, IoT, SC,
manufacturing, and insurance). In marine SCs, blockchain ensures lower
transaction, enforcement, and disintermediation costs. Low real-time
transaction delays, transaction transparency from remote locations, greater
data confidentiality, transaction validation, and fraud management can all be
achieved with integrated and networked commercial ships. Smart contracts
can be used to monitor shipments, automate payments, track violations, and
make the entire SC more efficient using a blockchain-based system with
IoT connected smart containers (Dutta et al., 2020).

10.3 Energy Sector

Blockchain has the capability to transform the power grids by facilitating
transparent, secure, and efficient electrical energy transactions. Blockchain
also supports the construction of transactional energy systems, in which
distributed agents can trade and communicate directly with one another, in a
flat trading and decentralized system. It allows a decentralized and distributed
accounting method to fulfill the current requirements of players’ scattered
needs in the energy market by separating the trading process into two stages:
the call auction stage and the ongoing auction stage (Dutta et al., 2020).

10.4 Construction sector

Blockchain can be used in the construction industry in categories such as
smart cities and shared economies, smart dwellings, construction
Another random document with
no related content on Scribd:
British property should be paid, and threatening, if further piracies
were committed, to send a force into the Rif to chastise his rebellious
subjects.
No attention was paid to this edict, for though the Rifians
acknowledge the Sultan of Morocco as ‘Kaliph[24] Allah,’ H.M. being
a direct descendant from the Prophet, and though they allow a
governor of Rif extraction to be appointed by him to reside amongst
them, they do not admit of his interference in the administration of
government or in any kind of legislation, unless it happens he is
voluntarily appealed to in cases of dispute.
The Rifians, however, pay annually a small tribute, which is
generally composed of mules and honey, the latter article being
much cultivated on the extensive tracts of heather in the Rif
mountains. This tribute is collected by the Governor and transmitted
to the Sultan.
After a lengthened correspondence with the Moorish Court,
negotiations were closed by the Sultan declaring he had no power of
control over the mountainous districts in the Rif, and therefore
declining to be held responsible for the depredations committed on
vessels approaching that coast. The British Government then
dispatched a squadron to Gibraltar under Admiral Sir Charles Napier,
with orders to embark a regiment at that garrison, and to proceed to
the Rif coast to chastise the lawless inhabitants.
On his arrival at the Spanish fort of Melilla, which is about fifty
miles to the westward of the Algerian frontier, Sir Charles called on
the Spanish Governor and requested him to invite the chiefs of the
neighbouring villages to come to Melilla to meet him.
 On their arrival, the Admiral demanded compensation for the
losses sustained by the owner of the British vessels which had been
captured. The Rifians cunningly evaded discussion by replying that
they could not accede to demands which did not emanate from the
Sultan, whose orders they declared they would be prepared to obey.

Sir Charles accepted these vague assurances[25]; and with this

unsatisfactory result returned with the squadron to Gibraltar, and
addressed to me a communication, making known the language held
to him by the Rifians, and requesting that I would dispatch an
express courier to the Moorish Court to call upon the Sultan to give
the requisite orders to the Rifians who, he declared, were prepared
to obey, though he admitted he was ignorant of the names of the
chieftains with whom he had the parley.
In my reply to the Admiral I expressed my belief that the Rifians
had cunningly given these vague assurances to induce him to depart
with his ships from their coast, and that I apprehended the Sultan
would express his surprise that we should have been led to suppose
that the piratical and rebellious inhabitants of the Rif coast would pay
compensation or give other satisfaction, in pursuance of any orders
which H.S.M. might issue.
In this sense, as I had expected, the Sultan replied to my note;
holding out, however, a hope, which had been expressed in past
years, that he would seek at a more favourable moment to make the
Rif population, who had been from time immemorial in a semi-
independent state, more subservient to his control.
Some months after the squadron had returned to England, a
British vessel, becalmed off the village of Benibugaffer, was taken by
a Rifian piratical craft, and the English crew were made captives.
 Tidings having reached Gibraltar of the capture of the British ship,
a gunboat was sent to Melilla to endeavour to obtain, through the
intervention of the Spanish authorities and an offer of a ransom, the
release of the British sailors, but this step was not attended with
success. Having heard that the Englishmen who had been captured
had been presented by the pirates to a Rif Marábet (or holy man)
named Alhádari, who resided on the coast, and as I had in past
years been in friendly communication with this person regarding
some Rifians who had proceeded in a British vessel to the East on a
pilgrimage to Mecca, and had been provided by me with letters of
recommendation to British Consular officers, I wrote him a friendly
letter, expressing the indignation I felt at the outrages which had
been committed by his piratical brethren on British vessels; that I had
been informed the authorities at Gibraltar had endeavoured, when
they heard British sailors were in the hands of the pirates, to pay a
ransom for their freedom, but had failed, as exorbitant demands had
been put forward; and that since I had learnt my countrymen were in
his hands, I felt satisfied they would be well treated, and that he
would facilitate at once their release and return to Gibraltar; that I
entertained too high an opinion of him to suppose he would not
consent to their release except on the payment of a ransom, and
therefore I would make no offer to purchase the liberty of my
countrymen, but renewed those assurances of friendship and
goodwill, of which I said I had already given proof in the past
treatment of his brethren.
Alhádari replied that the sailors were under his care, had been
well treated, and would be embarked in the first vessel which might
be sent to receive them.
This engagement was faithfully executed, and at my suggestion
the authorities at Gibraltar sent a suitable present to the worthy
Marábet. I wrote also to thank Alhádari, and to beg that he would use
his influence to put a stop to the disgraceful outrages committed in
past years by his brethren on the lives and property of British
subjects, and to say that I should probably take an opportunity of
seeking to have a parley with the chiefs, in the hope of coming to an
understanding with them to bring about a cessation of these
outrages; adding, that if my friendly intervention did not put a stop to
the piracy of his brethren, the British Government would be
compelled, in concert with the Sultan, to resort to hostile measures
on a large scale, and send forces by sea and land to chastise these
rebellious subjects of His Sherifian Majesty.
In the spring of 1856 H.M. frigate Miranda, Captain Hall, arrived at
Tangier with directions to convey me to the coast of Rif, and I
embarked on April 21, taking with me a Rifian friend, Hadj Abdallah
Lamarti, who was Sheikh of a village near Tangier called Suanni,
whose inhabitants are Rifians, or of Rif extraction.
Hadj Abdallah had left the Rif in consequence of a blood feud. He
was the chief of the boar-hunters at Tangier, and was looked up to
with respect, not only by the rural population in the neighbourhood of
that town, who are chiefly of Rif extraction, but also by the local
authorities, who frequently employed him in the settlement of
disputes with the refractory tribes in the mountainous districts of the
Tangier province.
We steamed along the rocky coast of Rif and touched at the
Spanish garrisons of Peñon and Alhucema. The former is a curious
little rock, separated from the mainland by a very narrow channel. A
colonel and a few soldiers garrisoned the fortress, which is
apparently of no possible use, though the authorities at that time
might have aided in checking piracy by stopping the passage of the
Rif galleys. The rock is so small that there was not a walk fifty yards
long on any part of it.
On the island of Alhucema, so called from the wild lavender that
grows there, we also landed. The Spanish authorities were civil, but
held out no hopes of being able to take steps to put a stop to piracy.
This island is also an insignificant possession, about half a mile
distant from the mainland. The inhabitants had occasional
communication with the Rifians, hoisting a flag of truce whenever a
boat was dispatched to the shore; but Spaniards were not at that
time allowed to make excursions on the mainland, nor were they
permitted to obtain provisions except a few fowls, eggs, and honey.

On our arrival at Melilla, the Governor, Colonel Buceta[26],

received us courteously. I made known to him that the British
Government had directed me to proceed to the coast of Rif, to
endeavour to come to an understanding with the chiefs with the view
of putting a stop to piracy on that coast, the Sultan of Morocco
having declared he had no power of control over his lawless
subjects, who had shown an utter disregard of the peremptory orders
which had been issued to restore British property captured by their
piratical galleys; that in order to carry out this object I was anxious to
have an interview with some of the chiefs, not only of the villages on
the coast where the owners of the piratical galleys dwelt, but more
especially with the chiefs of the neighbouring inland villages, as the
latter derived no immediate benefit from the plunder of shipping.
Colonel Buceta endeavoured to dissuade me from this purpose,
reminding me that Sir Charles Napier had failed in obtaining any
beneficial result from his parley with the Rifians who had an interview
with him in Melilla.
 Perceiving from the Governor’s language that he entertained
those feelings of jealousy which prevail with Spaniards regarding the
intervention of any foreign Government in the affairs of Morocco, I let
him understand that, should no beneficial result be obtained by my
visit in putting a stop to the outrages committed on merchant vessels
approaching the Rif coast, it would become a serious matter for the
consideration of our Government whether steps should not be taken
to inflict a chastisement on the Rifians by landing a force, and in
conjunction with the Sultan’s troops which might be dispatched, at
our instigation, for that purpose, to destroy the hamlets and boats on
the coast. The question might also arise, perhaps, of erecting a
fortress in some sheltered spot where a gunboat could be placed to
guard the coast against pirates, which I observed the authorities at
Spanish fortresses had hitherto been unable to effect.
This language sufficed to decide Colonel Buceta to accede to my
wishes; but he informed me that, in consequence of late acts of
aggression on the part of the natives, all communication with the
garrison had been cut off, and that no Rifians were allowed to enter;
it was therefore out of the question that he could admit any chieftains
into Spanish territory. Neither did he think the latter would be
disposed to venture into the gates of the fortress.
I then proposed to be allowed to dispatch my Rifian friend Hadj
Abdallah Lamarti with an invitation to some of the neighbouring
chiefs, both on the seaboard and inland, to meet me on the neutral
ground.
Colonel Buceta assented, but he repeated that he could not admit
any Rifians into the garrison, nor send an escort to accompany me,
should I pass the gates to go into the Rif country, adding that he
thought I should be incurring a serious risk of being carried off a
prisoner by the Rifians, if in the parley I should happen to express
myself in language such as I had used to him regarding the outrages
committed by these lawless people.
His predecessor, he informed me, in consequence of the frequent
hostilities which had taken place between the natives and the
garrison, had proposed to have a meeting with some chieftains
within the garrison. This they declined, fearing, as they alleged,
some act of treachery; but it was finally agreed that they should meet
the Governor on the neutral ground; that he could bring an escort of
twenty-five armed men, and that the chiefs would also be
accompanied by an equal number of followers; that the Governor
and one chief, both unarmed, were to advance to a central spot that
was selected about 150 yards distant from where their followers
assembled, and that the Spanish Governor could also bring with him
an interpreter.
This arrangement was carried out, and a Rifian chief, a man of
gigantic stature and herculean frame, advanced to meet the Spanish
Governor.
The parley commenced in a friendly manner; propositions were
made by each party regarding the conditions upon which peaceful
relations were to be re-established; but without bringing about any
result.
The Spanish Governor, finding the demands put forward by the
chieftain to be of an unacceptable character, expressed himself
strongly on the subject. A warm dispute ensued, and on the
Governor using some offensive expression, the Rifian seized in his
brawny arms the Governor, who was a little man, and chucking him
over his shoulders like a sack of grain, called out to the Spanish
detachment of soldiers to blaze away, and at the same time to his
own men to fire if the Spanish soldiers fired or attempted to advance,
whilst the chieftain ran off with the Governor, who was like a shield
on his back, to his followers.
The officer in command of the Spanish detachment, fearing that
the Governor might be killed, did not venture to let his men fire or
advance, and the Governor was carried off prisoner to a village
about three miles off on the hills, and notice was then sent to the
fortress that he would not be released until a ransom of 3000 dollars
was sent.
The Rifians kept the Governor prisoner until a reference was
made to Madrid, and orders were sent for the ransom to be paid.
‘Now,’ said Colonel Buceta, ‘your fate if you trust yourself to these
treacherous people will probably be the same, and I shall be quite
unable to obtain your release.’
I thanked the Governor for the advice, but declared that I must
fulfil my mission and was prepared to run all risks, having been
accustomed for many years to deal with Rifians at Tangier.
Buceta then consented that I should be allowed to pass the gates
of the garrison and invite the chiefs of the neighbouring Rif villages
to a parley on the neutral ground.
Colonel Buceta, a distinguished officer well known for his great
courage and decision, was I believe, on the whole, pleased that I
held to my purpose, though he warned me again and again that I
was incurring a great risk, and that in no manner could he intervene,
if I and the English officer who might accompany me were taken
prisoners.
My messenger returned and informed me that the neighbouring
chiefs, both of the inland and of the piratical villages of Benibugaffer,
would meet me on the neutral ground as had been proposed to
them.
Accompanied by Capt. Hall, who commanded H.M.’s frigate
Miranda, my friend Hadj Abdallah, and a ‘kavass,’ we proceeded to
the rendezvous.
Five or six chiefs awaited our advent, attended by some hundred
followers, stalwart fellows, many of them more than six feet high.
The chiefs wore brown hooded dresses, not unlike the costume of
a Franciscan friar; but part of the shirt-sleeves and front were
embroidered with coloured silks. Handsome leather-belts girded their
loins. A few of the elders wore white woollen ‘haiks,’ like unto the
Roman toga or mantle without seam, such as our Saviour is said to
have worn.
Some of the wild fellows had doffed their outer garments, carrying
them on their shoulders as they are wont to do when going to battle.
Their inner costume was a white cotton tunic, coming down to the
knees, with long wide sleeves fastened behind the back by a cord.
Around their loins each wore a leathern girdle embroidered in
coloured silk, from which on the one side hung a dagger and a small
pouch for bullets; while on the other was suspended a larger
leathern pouch or bag prettily embroidered and having a deep fringe
of leather, in which powder is carried; containing also a pocket to
carry the palmetto fibre, curiously enough called ‘lif,’ used instead of
wads over powder and ball. Their heads were closely shaved, except
that on the right side hung a long lock of braided hair, carefully
combed and oiled. Several of them were fair men with brown or red
beards, descendants perhaps of those Goths who crossed over into
Africa.
 The wild fellows reclined in groups on a bank, immediately behind
where the chiefs were standing to receive us. After mutual greetings
I addressed them in Arabic, which though not the common language,
for Berber is spoken in the Rif, yet is understood by the better
classes, who learn to read the Koran and to write in the ‘jama’ or
mosque school. The Berber is not a written language.
‘Oh, men! I come amongst you as a friend; an old friend of the
Mussulmans. I have been warned that Rifians are not to be trusted,
and that I and those who accompany me are in danger of treachery;
but I take no heed of such warnings, for Rifians are renowned for
bravery, and brave men never act in a dastardly manner. My best
friends at Tangier are Rifians, or those whose sires came from the
Rif, such as my friend here, Hadj Abdallah Lamarti. They are my
hunters, and I pass days and nights with them out hunting, and am
treated by them and look upon them as my brethren; so here I have
come to meet you, with the Captain of the frigate, unarmed, as you
see, and without even an escort of my countrymen from the ship-of-
war lying there, or from the Spanish garrison, for I felt sure I should
never require protection in the Rif against any man.’
‘You are welcome,’ exclaimed the chiefs. ‘The English have
always been our friends,’ and a murmur of approval ran through the
groups of armed men seated on the bank.
‘Yes!’ I continued, ‘the English have always been the friends of the
Sultan, the ‘Kaliph Allah,’ and of his people.
‘You are all Mussulmans, and as followers of the Prophet every
year a number of your brethren, who have the means, go to the
shrine of the Prophet at Mecca, as required by your religion. How do
they go? In English vessels from Tangier, as you know, and they are
therefore, when on board, under the English flag and protection.
They are well treated and their lives and property are safe. They
return to Tangier in the same manner, and many of them have come
to me to express their gratitude for the recommendations I have
given them to English officers in the East, and the kindness they
have received at their hands.
‘These facts, I think, are known to you; but let us now consider
what is the conduct of certain Rifians,—not all, I am happy to add,
but those who dwell on the coast and possess ‘karebs,’ for the
alleged purpose of trade with Tangier and Tetuan, and for fishing.
‘The inhabitants of these coast villages, especially of the
neighbouring village of Benibugaffer, when they espy a peaceful
merchant vessel becalmed off their coast, launch a ‘kareb’ with forty
or fifty armed men, and set out in pursuit. The crews of these
merchant vessels are unarmed, and generally consist of not more
than eight or nine men. When they observe a ‘kareb’ approaching
with a hostile appearance, they escape in their little boats to the
open sea, trusting to Providence to be picked up by some passing
vessel before bad weather sets in, which might cause their small
craft to founder. The merchant vessel is then towed to the beach,
where she is stranded, pillaged of cargo and rigging, and burnt.
‘I now appeal to all true Mussulmans whether such iniquitous acts
are not against the laws of God and of the Prophet. These pirates
are not waging war against enemies or infidels, they are mere sea
robbers, who set aside the laws of the Prophet to pillage the
peaceful ships of their friends the English, to whom they are
indebted for conveying their brethren in safety to worship at the Holy
‘Kaaba’ of their Prophet.
‘To these English whom they rob, and also murder if they attempt
to resist, they are indebted for much of the clothing they wear, for the
iron and steel of which their arms are made, and for other
commodities. I now appeal to those Rifians who dwell in inland
villages, and who take no part in and have no profit from these
lawless acts, and I ask whether they will continue to tolerate such
infractions of Allah’s laws? Can these men of Benibugaffer who have
been guilty of frequent acts of piracy, can they be Mussulmans? No,
they must be “kaffers” (rebels against God).’ As I said this, I heard
from the mound behind me, where the Benibugaffer people were
seated, the sound of the cocking of guns, and a murmur, ‘He calls us
kaffers.’ Looking round, I perceived guns levelled at my back.
One of the elder Chiefs rose and cried out, ‘Let the English Chief
speak! What he says is true! Those who rob and murder on the seas
innocent people are not Mussulmans, for they do not obey the law of
God.’
I continued: ‘Hear what your wise Chief says. I fancied I heard a
sound like the click of a gun being cocked. Some foolish boys must
be sitting amongst the assembly, for no brave Rifians, Benibugaffers
included, would ever commit a cowardly murder on an unarmed man
who has come amongst you trusting to the honour and friendship
between the Rifians and English from ancient times.
‘You have, I think, heard that the English Government has
frequently complained to the Sultan Mulai Abderahman, the Kaliph
Allah and Emir El Mumenin (Prince of Believers), of the commission
of these outrages, and has put forward a demand for reparation and
compensation for damages.
‘The Sultan, who is the friend of the powerful Queen of England,
my Sovereign, under whose sway there are fifty million of
Mussulmans whom she governs with justice and kindness, issued
his Sherifian commands to you Rifians to cease from these outrages;
but you paid no attention to the orders of the Kaliph of the Prophet.
‘The Queen then sent a squadron to chastise the pirates and
obtain redress; but the Admiral took pity on the villages, where
innocent women and children dwelt, and did not fire a gun or burn a
‘kareb,’ as he might have done. He had a parley with the
Benibugaffer people and other inhabitants of villages where boats
are kept.
‘They made false promises and pretended they would cease to
commit outrages, but, as was to be expected, they have broken faith,
and since that parley have been guilty of further acts of piracy. So
now I have come to see you and hear whether the Rifians in the
inland villages will continue to suffer these outrages to be committed
by those who dwell on the coast, which may expose all the honest
and innocent inhabitants of the Rif to the horrors of war.
‘I have begged that no steps should be taken by my countrymen,
lest the innocent should suffer, until I make this final attempt to come
to an understanding with you; but I have to warn you, as a true
friend, if another outrage be committed, my great and powerful
Sovereign, in conjunction with the Sultan, will send large forces by
sea and by land to carry fire and sword into your villages, and bring
the whole population under subjection. H.S.M. may then think fit to
compel the Rif tribes dwelling on the coast to migrate to the interior
of his realms, or, at any rate, they will no longer be allowed to
possess a single boat for trade, or even for fishing.
‘I now ask—Will you inland inhabitants tolerate the continuance of
piracy on the part of your brethren on the coast?—Will you brave
inhabitants of the coast continue to set Allah’s laws at defiance, and
thus expose your lives and property, and those of your inland
brethren, to destruction?’
The old Chief again spoke, and others stood up and joined him,
saying: ‘He is right. We shall not allow these robberies to be
committed on our friends the English; such outrages must cease,
and if continued, we shall be prepared to chastise the guilty.’
The Benibugaffer Chiefs said, ‘We approve.’
‘I know,’ I continued, ‘you Rifians do not sign treaties or like
documents; but the words of brave men are more worthy of trust
than treaties, which are too often broken. Give me your hands.’ I
held out mine. As the pledge of good faith I shook the hands of the
chiefs, including the Benibugaffer.
‘Remember,’ I said, ‘it is not English vessels, but all vessels
without exception must be respected on approaching your shores.’
‘We agree,’ they cried.
Upon which I exclaimed, ‘I have faith in your words. May God’s
mercy and blessing be on you all and grant you prosperity and
happiness! The Rifians and English shall remain true friends for ever.
I bid you farewell.’
‘Stay,’ said the chief of a neighbouring village, ‘come with us and
be our guest. We shall kill an ox to feast you and our brethren here,
and bid you welcome. You are a hunter; we shall show you sport,
and become better acquainted with each other. Upon our heads shall
be your life and those of your friends.’
Pointing to the frigate, I said: ‘That vessel has to return
immediately, and I have to report what has been done, in order to
stop all preparations for seeking through other means to obtain the
satisfaction you have so readily offered. I should have been
delighted to have gone with you and should have felt as safe as if
amongst my own countrymen. You are a brave race, incapable of
doing a wrong to a true friend. I shall never forget the manner in
which you have received me.
‘I bid you all farewell. I believe in your promises, even those made
by the Benibugaffer. Send messengers at once to the villages on the
coast and let them know the promises you have made, which they
also must be required to carry out strictly.’
The Chiefs and their followers tried all they could to persuade me
to accompany them but finally consented that I should depart, on
promising that I would some day revisit them.
Colonel Buceta was surprised to learn the result of my visit, but
said the Rifians would never keep faith, and that we should soon
hear of fresh acts of piracy. ‘In such case,’ I replied, ‘we shall have to
land a force and burn every hamlet and boat on the coast; but I have
every hope the Rifians will keep faith.’
They have kept faith, and since that parley near Melilla no
vessels, either British or of other nationality, have been captured or
molested by the Rifians[27]

It was amongst these wild and lawless Rifians that Mr. Hay found
the most thorough sportsmen, and also men capable of great
attachment and devotion. Always much interested in the history of
this race, in their customs and mode of life, he wrote an interesting
account of the tribes which inhabit the north of Morocco and of his
personal intercourse with them.

The Rif province extends along the Mediterranean coast to the

eastward from a site called Borj Ustrak, in the province of Tetuan, for
about a hundred and fifty miles to the stream marked in maps as
‘Fum Ajrud’ (mouth of Ajrud), the northern boundary between
Morocco and Algiers.
The Rif country to the southward, inland from the Mediterranean
coast, extends about thirty-five miles and on the westward is
bordered by the Tetuan province and the mountains of Khamás and
Ghamára.
The population of Rif amounts, as far as can be calculated, to
about 150,000 souls. The Rifians are a Berber race, and have never
been conquered by the various nations—Phœnicians, Romans,
Goths, and Arabs—who have invaded Mauritania: they have always
maintained their independence; but on the conquest of Morocco by
the Arabs, the Rifians accepted the Mohammedan faith, and
acknowledged the Sovereigns of Morocco as the Kaliphs of the
Prophet.
The country is mountainous, the soil in most parts poor, and
though the Rif is rich in iron, copper, and other minerals, there are no
roads or means of conveyance to the seaboard. There are large
forests of ‘el aris[28],’ which the Rifians convey in their ‘karebs’
(sailing boats) to Tetuan and Tangier. They have no saws, so when a
tree is felled it is cut away with a hatchet until a beam or plank is
shaped, generally about ten feet long by a foot wide. This timber has
a strong aromatic odour, and when not exposed to damp is more
durable than oak. It was used for the woodwork of the Alhambra at
Granada and other Moorish palaces in Spain, and though many of
the Arabesque ornaments in plaster or stucco have fallen into decay
and walls have crumbled, this woodwork remains sound.
The Rifians are an industrious race; but their barren hills do not
produce sufficient grain to provide food for the population. Large
numbers migrate every year to different parts of Morocco, especially
to the northern provinces, and are employed to cultivate orchards
and gardens round Tangier and Tetuan. The majority of the
inhabitants of the town and neighbouring districts of Tangier are of
Rif extraction.
In the Rif the natives do not submit to any authority except upon
religious or legal questions, such as marriage, inheritance, and title
deeds. The ‘f’ki,’ or chief priest in a village mosque, draws up, with
the aid of ‘tolba’ or public notaries, all legal documents regarding
marriage or property. In other matters the Rifian does not submit to
legislation; his gun, pistol, and dagger are his judge and jury—yet
crimes such as robbery, theft, or outrages on women are rarely
known, but murder from feud is rife throughout the country to a
frightful extent. No man’s life is secure, even though he be a distant
relative, such as the great-grandson, of some one who may have
taken a life thirty years before in a blood feud. The widow of a
murdered man will teach her son, as soon as he can carry a gun or
pistol, how to use those arms, and daily remind him that his father
must be avenged lest the son be looked upon as despicable.
The men always go armed even in their own villages. Cursing,
swearing, or abusive language, so common amongst the Moors, are
rarely heard in Rif; for the man who ventures to use an opprobrious
epithet knows that he incurs the risk of being stabbed or shot. A
Rifian never forgives or forgets an insult.
They are distinguished for their courage. During the war between
Spain and Morocco in 1859, they did not obey the appeal of the
Sultan for assistance; but the inhabitants of the district of Zarhon
near Fas, who are of Rif extraction, sent a contingent of 1,500 men
to Tetuan. They arrived a few days before the battle of ‘Agraz’—the
last which took place between the Moors and Spaniards before the
peace of 1860—and fought so determinedly that two-thirds of their
number fell during that battle.
Polygamy is extremely rare in Rif. Few men venture to take a
second wife lest offence be given thereby to the father or brother of
either of the women they have married. Even in Tangier, where there
is a population of over 9,000 Mohammedans, chiefly Rifians by
descent, I never heard of more than four or five Moors who had two
wives. When an exception occurs, it has generally been at the
request of the wife, who, having had no child, begs her husband to
marry some cousin or friend, selected perhaps by herself.
Immoral conduct on the part of married women or maidens is
unknown; for, should they be suspected of leading an irregular life by
father, husband, or other male relative, such disgrace is wiped out by
death.
Rifian women do not cover their faces. If a man sees a young
woman fetching water from a well or walking alone, he will avoid
meeting her, and even turn back rather than run the risk of being
seen by some relative of the female and be suspected of having
communicated with her by word or gesture. He will shun the woman
who may be alone, as a modest girl in Europe might try to avoid a
man whom she should happen to meet when walking in some lonely
spot.
Some years ago an old Rifian, one of my boar-hunters, who dwelt
at a village near Tangier, presented himself before me looking very
miserable and haggard. ‘I take refuge under the hem of your
garment,’ he exclaimed, ‘and deliver into your hands these title-
deeds of my hut and garden, also a document regarding a mare;
these are all my possessions. I am about to deliver myself up to the
Basha of Tangier, Kaid Abbas Emkashéd, and to ask that I be sent to
prison.’
On inquiring of the old hunter why he thought of taking such an
extraordinary step, and also what he expected me to do with his
papers and property, he replied, whilst trembling from head to foot,
with tears running down his rugged cheeks and his teeth chattering
as he spoke, ‘My youngest daughter, whom I loved so dearly’—here
he gasped for breath—‘is no more. I have buried her. She was put to
death with my consent.’ Poor Hadj Kassim then covered his face and
sobbed violently, paused to recover himself, and continued, ‘The
authorities have heard that my daughter, who was very beautiful, has
disappeared, and have given orders that some innocent persons
who are suspected should be arrested, as it is supposed she has
been carried off or murdered. I cannot remain a passive spectator
whilst innocent men suffer, feeling that the whole blame of the
disappearance of my child rests on me alone. My daughter was of a
joyous character, and, like a silly girl, thought only of amusement.
Both her mother and I had repeatedly punished her for going to
weddings or other festivities without our permission. She had been
warned that misconduct on her part, as a Rifian maiden, would never
be forgiven; but she took no heed. Some neighbours reported that
she had been seen going to Tangier to dance in the “mesriahs.” Her
shameless conduct became a source of great scandal in the village,
and as it was supposed that I countenanced her misconduct, I was
shunned by my friends. They no longer returned my salams, and
when I joined the elders, who are wont to assemble of an afternoon
on our village green, they turned their backs on me.
‘Life had become a burden, and my son, who was also taunted by
young men for having a sister of bad repute, came to me yesterday,
when he heard that she had again gone off to the town, and declared
that as Rifians we could not allow a daughter and sister who did not
obey her parents, and brought disgrace on her family, to live.
‘Though I loved dearly my foolish child,’ continued the old hunter,
‘I gave way to the passionate language of my son, and consented
that, should we discover she danced at the “mesriah,” she should
die.
‘We went to Tangier and concealed ourselves near the entrance
of a “mesriah” we were told she frequented. We saw her enter,
followed by some young Moors. A little before sunset she came out,
enveloped in her “haik,” and walked hurriedly towards our village.
She did not see us, and we followed her until we reached a path in
the brushwood not far from our village, and then we stopped her. My
son accused her of leading a disgraceful life, and then struck her
heavily with a bill-hook on the head. She fell, never to speak again.
We buried her in a secluded spot. My son killed her, but I am really
her murderer—I alone am responsible for her death; but my
wretched child could not have lived to be a curse and a disgrace.’
Then the poor Hadj trembled in his acute misery, and shook as if he
had the palsy.
‘I shall,’ he continued, ‘present myself to the Basha. I shall not say
I am the murderer, as the Basha is a Rifian, and will understand all
when I declare I wish no man to be arrested on account of the
disappearance of my child, and that I alone am responsible for
whatever may have happened to her.
‘Now,’ he added, ‘you know, according to Moorish law, no man
can be punished for murder unless he acknowledges his crime, and
that after twelve months’ imprisonment, should no witnesses appear,
the accused can claim to be liberated from prison. If I live, therefore,
I shall be released; but I care no longer for life, except it be to work